Drying FII inflows on rising Covid cases to weaken rupee (IANS Currency Watch)


    By Rohit Vaid
    Mumbai, April 18 |
    Drying FII inflows on the back of rising Covid cases is expected to weaken the Indian rupee further during the upcoming trade week.

    Lately, rising Covid cases have heavily dented equity indices and dampened investors’ hopes of an early economic recovery.

    This was reflected in rupee’s trajectory. The currency had made a year high of 72.25 to a greenback on March 25 and an eight month low of 75.30 on last Monday.

    “This was despite no big changes in global factors or domestic macros. Some of it can be attributed to liquidity enhancement measures,” Sajal Gupta, Head, Forex and Rates at Edelweiss Securities told IANS.

    “Expect next week to be volatile amidst rising Corona cases and hopes of early vaccine delivery from Sputnik and others.”
    Last week, the rupee closed at 74.40 to a USD.

    “The coronavirus-led regional lockdown and rapid increase in cases will continue to weigh on the rupee,” said Rahul Gupta, Head of Research- Currency, Emkay Global Financial Services.

    “However, a fall in the dollar index will act as a respite. Also, RBI is not letting the rupee depreciate beyond the 75.40 zones. So we expect USDINR spot to trade in between 74-75.50.”

    The increase in infections has forced many state governments to implement fresh Covid-19 restrictions during last two-three weeks, fasting hopes of an early economic recovery.

    On the bright side, it said that vaccinations are gradually beginning to accelerate.

    “Next week, we expect that the rupee could again start to weaken as the pace of fund inflows by the FIIs remains slow. At the same time, recent economic numbers released from the US have been better-than-estimates that could strengthen the dollar,” said Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services.

    “For the week, the USDINR (Spot) is expected to trade with a positive bias and quote in the range of 74.20 and 75.20.”

    According to Devarsh Vakil- Deputy Head of Retail Research at HDFC Securities: “Spot USDINR has support at 73.7, the 200 days simple moving average, and continues to face resistance beyond 75 mark.”

    (Rohit Vaid can be contacted at rohit.v@ians.in)

    Source: IANS

    Next Story

    Social Media Expert And Founder Of Aapno Rajasthan Durgesh Dhaker Gives His Two Cents On Growing One's Reach Online

    Social Media Expert And Founder Of Aapno Rajasthan Durgesh Dhaker Gives His Two Cents On Growing One's Reach Online

    “Work and you’ll get what you need; work harder and you’ll get what you want”.

    The above-mentioned quote speaks volumes about the courage of those who have made substantial breakthroughs in their life with hardwork and dedication.

    One such committed individual who is preparing several notable names with their social media reach is Durgesh Dhaker. An agile and someone who keeps himself upbeat with the happenings in the country, Durgesh has acquired expertise in carving the social media strategies for various stalwarts. He is also the founder of Aapno Rajasthan

    facebook page with more than 1 million likes which he gain within very short time with his expertise.

    Coming from the beautiful city of Chittorgarh in the land of Rajasthan, Durgesh Dhaker is making his parents and fellows pride of his strides and success acquired through hustling with perseverance. His social media expertise enables him to give his top tips for growing one’s social media presence, it is as below-

    1-Create a network

    Social media comprises of a huge number of people who need to build their reach, subsequently, it turns into a fiercely cutthroat spot where every individual is attempting to draw in mass consideration, thus it is basic that we upgrade our activities to pick a specialty which suits our inclinations, it ought to be something that you are prepared to deal with for quite a while of your life.

    Zero in on making an intuitive substance that can be discovered when somebody looks for it, the most ideal approach to do is to is utilize significant hashtags on Facebook, Twitter, etc.

    2-Create steady, quality posts that are relatable

    Today, the web has enough data however we can help our supporters discover quality data that isn’t excess by posting relatable substance according to our niche, recall, forthright, valuable, and quality substance is as yet restricted on the web, consequently assuming you give individuals what they are searching for reliably, gradually and slowly, you will see considerable development in individuals who follow you.

    3-Social media showcasing/connecting websites

    Social media marketing is perhaps the most ideal approach to get ideal reach online, to see speedy outcomes, posting cool videos, and opinion on the latest happenings are some methods which can be deployed. If one has a website on their name or related to their field of work then those can be attached on social media profiles to promote them better.

    In a nutshell, we can conclude that, according to Durgesh Dhaker, the top way to grow your social media presence is by being relevant and consistent with the content that is suited to the tastes of your target audience, linking several web pages and blogs to boost traffic and last but not the least correct marketing of your content that can lead to conversions.


    Please enter your comment!
    Please enter your name here