Angel Broking's report on rupee
Dollar/INR
The Indian Rupee appreciated by 0.1 percent in the last week owing to month end dollar demand by exporters/importers that kept the markets active. Moreover, sudden surge in foreign inflows owing to RBI's latest proposal with respect to debt markets along with government’s plan to inject funds into state-owned banks this year to help them meet Basel III rules kept the markets and currency positive.
However, sharp gains were restricted owing to non-materialization of a Greek debt deal after the 24 hour non-stop discussions between Greek officials and its creditors that boosted the demand for the greenback and in turn weakened the rupee. The currency made a weekly high of 63.43 and closed at 63.61 on Friday.
For the month of June 2015, FII outflows in equities totaled at Rs. 2555.89 crores ($397.79 million) as on 26th June, 2015. Year to date basis, net capital inflows stood at Rs. 39869.18 crores ($6472.88 million) as on 26th June, 2015.
Outlook
From the intra-day perspective, Rupee is likely to depreciate after the European leaders refused to extend Greece’s bailout beyond Tuesday which has prompted Athens to impose capital controls by keeping their banks shut on Monday which will strengthen DX and weaken the rupee.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!