MCX-SX USDINR Jul 2014
Rupee dropped on demand from oil and defence companies amid a globally strong dollar ahead of the release of retail inflation data for India. India’s wholesale price inflation slowed morethan- expected in June to a four-month low, official data revealed.
Wholesale price inflation came in at 5.43 percent in June, the lowest since February and down from 6.01 percent in May, the Ministry of Commerce and Industry said. Inflation was expected to ease to 5.73 percent. The annual increase in primary article prices slowed to 6.84 percent from 8.58 percent. Cost of food articles gained 8.14 percent versus 9.5 percent in May.
Likewise, fuel and power prices advanced 9.04 percent, slower than the 10.53 percent rise seen a month ago. Meanwhile, manufactured product prices rose at a faster pace of 3.61 percent after increasing 3.55 percent in May. Build up inflation rate in the financial year so far was 1.28 percent compared to a build up rate of 1.82 percent in the corresponding period of the previous year.
Emerging Asian currencies mostly inched higher on Monday, stabilising after taking a fall late last week, as investor jitters over problems at a Portuguese bank eased. In the offshore non-deliverable forwards, the one-month contract was at 60.34, while the three-month was at 60.87.
Technically market is under fresh buying as market has witnessed gain in open interest by 0.41% to settled at 509158, now USDINR is getting support at 60.0225 and below same could see a test of 59.9075 level, And resistance is now likely to be seen at 60.315, a move above could see prices testing 60.4925.