INR forecast: INR opens weaker at 71.28 as against yesterday close of 71.21 and may trade the day between 71.10-71.45 under two way price action.
It appears as if when things have to go wrong, they would go wrong. In an already risk off sentiment, foreign portfolio investors raised concerns over KYC circular of SEBI and said almost USD 75 bn of investment at risk. Crude inches up and Argentina imposes emergency measures to balance country fiscal deficit.
No respite on trade war.
Surprisingly element is near absence of RBI. We are concerned that without intervention, perception of further weakness would feed into already weaker INR. Ideally RBI should intervene to at least stem the speed of move.