INR forecast: INR opens stronger at 70.55 as against yesterdays close of 70.90 and may trade the day between 70.40-70.70 under two way price action.
.
The broad theme is now markets starting to price slower growth in US and other places. This means correction in equity and interest rates. We believe for few weeks, this may lead to pain but after sometime markets would realise growth potential of markets like India and fund slow could resume, particularly in bonds.
.
Yesterday OPEC meeting was postponed to today as members failed to reach decision. Today the OPEC members will meet with Russia and may decided on production cut. But possibility is high that no production cut may happen this time.
.
USD remained weaker against most of its rival currencies on back of multiple reason. U.S 10Y yield fell below 2.9% while U.S equities saw major selloff. Economic data from US was also not healthy- trade deficit rose to ten years high; ADP jobs data came in low.
Today evening is imp NFP data from US and EXIT polls results from India.