Dollar/Rupee September Future
Dollar/rupee September Future opened slightly positive at 67.35 compare to previous close of 67.2725 tracking weakness in other Asian currencies, as in-line with expected US private jobs data fuelled expectations of a strong non-farm payrolls report that could put Federal Reserve on track for a rate hike in 2016.
Meanwhile, India reported disappointing economic growth in the fiscal first quarter on account of weak private consumption, agriculture and mining sector.
Gross domestic product growth at constant prices eased to 7.1% in the Apr-Jun quarter compared to 7.5% in the corresponding period a year ago and 7.6% in the last quarter of the fiscal year in the year ago period, data released by the government showed Wednesday.
GVA based growth stood higher than the GDP based growth on higher subsidy payouts and net indirect taxes collection.
Adding to this, investors remain focused on the US non-farm payrolls data due Friday.
The strength of the jobs data is likely to have a significant impact on expectations regarding whether the Federal Reserve will increase interest rates at its next meeting.
India Fiscal deficit widened to Rs 3.93 trillion in Apr-Jul period or 73.7% of the budgeted target for 2016-17 compared to 69.3% of the budget estimates in the year ago period, data released by Controller General of Accounts showed.
Technical, USDINR extended its fall for second consecutive day and settled at 67.26.
Near term trend expect to remain negative unless pair gives a closing above 67.65 and any rise towards 67.35-67.40 may give sell opportunity for the target of 67.10-66.95.
On the upside, massive resistance is seen at 67.65 sustain trade above only could open the door for 67.85-68.10.
EUR-INR September Future
Euro traded little changed Wednesday as robust German economic data offset the impact of strong dollar, even as investors await the release of US August jobs report on Friday.
EURINR extended its fall for third consecutive day and settled at 74.9550 levels. As was expected pair hit both predicted level of 75.10 and 74.95.
On the EOD char pair trading under ascending triangle and it is expected that a breakdown of this triangle may show decent fall in days to come.
Sell below 74.95 Target 74.70-74.25. Stop loss above 75.10
GBP-INR September Future
Pound snapped four days fall Wednesday as investors covered their short positions tracking subdued dollar ahead of labour market data from the world's largest economy.
GBPINR failed to break its previous day low, and saw a pull back towards 88.56 from the day low 88.1125.
Intraday price action resulted in formation of high wave candle stick which is indicating for indecisive trend in days to come.
Today, correction is expect to come below 88.05, else pair may show consolidation in the range of 88.20-88.60
JPY-INR September Future
Yen extended its recent fall on Wednesday as dollar index pared initial losses ahead of the key US jobs data due later this week.
JPYINR extended its fall for third consecutive day and after hitting a low of 65.12 settled at 65.15.
Sell strategy given below 65.75 was rocked and pair hit first predicted level.
A breakdown of its near term trend line support which has been hold since 29 July 2016 is indicating for bearishness in the JPYINR.
Sell below 65.10 Target 64.80-64.55. Stop loss above 65.25.
§ Major Economic Data & Events Schedule today
Time
|
Currency
|
Economic Indicators
|
Forecast
|
Previous
|
Possible Impact
|
7:30am
|
JPY
|
Final Manufacturing PMI
|
49.6
|
49.6
|
Neutral
|
9:15am
|
JPY
|
10-y Bond Auction
|
-0.05|3.2
| ||
12:45pm
|
EUR
|
Spanish Manufacturing PMI
|
50.8
|
51
|
Negative
|
1:15pm
|
EUR
|
Italian Manufacturing PMI
|
51.3
|
51.2
|
Positive
|
1:20pm
|
EUR
|
French Final Manufacturing PMI
|
48.5
|
48.5
|
Neutral
|
1:25pm
|
EUR
|
German Final Manufacturing PMI
|
53.6
|
53.6
|
Neutral
|
1:30pm
|
EUR
|
Final Manufacturing PMI
|
51.8
|
51.8
|
Neutral
|
2:00pm
|
GBP
|
Manufacturing PMI
|
49.1
|
48.2
|
Positive
|
Tentative
|
EUR
|
French 10-y Bond Auction
|
0.19|2.8
| ||
5:00pm
|
USD
|
Challenger Job Cuts y/y
|
-
|
-57.10%
|
-
|
6:00pm
|
USD
|
Unemployment Claims
|
265K
|
261K
|
Negative
|
USD
|
Revised Nonfarm Productivity q/q
|
-0.60%
|
-0.50%
|
Negative
| |
USD
|
Revised Unit Labor Costs q/q
|
2.00%
|
2.00%
|
Neutral
| |
7:15pm
|
USD
|
Final Manufacturing PMI
|
52.1
|
52.1
|
Neutral
|
7:30pm
|
USD
|
ISM Manufacturing PMI
|
52
|
52.6
|
Negative
|
USD
|
Construction Spending m/m
|
0.60%
|
-0.60%
|
Positive
| |
USD
|
ISM Manufacturing Prices
|
54.5
|
55
|
Negative
| |
All Day
|
USD
|
Total Vehicle Sales
|
17.2M
|
17.9M
|
Negative
|
More will Update soon..
