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Reliance Securities: Currency And Bond Update - October 07, 2020

Reliance Securities: Currency And Bond Update - October 07, 2020

 Indian two thousand and five hundred rupee banknotes are arranged for a photograph in Mumbai, India (Photographer Dhiraj Singh/Bloomberg)
Indian two thousand and five hundred rupee banknotes are arranged for a photograph in Mumbai, India (Photographer Dhiraj Singh/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Reliance Securities Report

The Indian rupee depreciated this Tuesday for the second consecutive session against the U.S dollar amid intervention from the central bank in anticipation of further flows into the country.

The rupee ended at 73.45 to the dollar against 73.29 close on Monday.

The rupee had appreciated to 73.16 earlier this Tuesday morning probably on the back slightly weak U.S. dollar, improved global risk appetite and possibility of a U.S. fiscal stimulus.

We believe that most of the good news surrounding the fiscal stimulus has been factored in by the markets and could likely witness no reaction when its officially announced by the U.S.

Meanwhile, India's Monetary Policy Committee will meet from October 07 to October 09, the Reserve Bank of India announced this Tuesday morning.

We do not expect rate cuts by the central bank as inflation still remains elevated and outside the comfort zone of the central bank.

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Reliance Securities Currency Update - October 07 2020.pdf

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