16/08/2019

Major developments:

USD is now at 71.27. Rupee has pulled back from its low of 71.47 in early trade today. Equity markets are down marginally, perhaps anticipating new economic measures from Govt.

Indian trade deficit declined to USD 13.43 bn in July with exports climbing 2.25%. WPI

inflation fell to 25 month low of 1.08%.

US 2 year yield is now above 10 Year yield, warning about potential downside risks to

economy.  China has vowed to retaliate on trade tariffs.

-USDINR is at 71.27. Wednesday’s close was 71.28.

-Indian Equity indices climb higher.

-Indian 10 year G-SEC yield is at 6.59%.

-USDINR 1 yr fwd premia is at 4%.

USDINR @ 71.27, EUR/USD 1.1103, GBP/USD @ 1.2096, USD/JPY @ 106.10, EUR/INR @ 79.13, GBP/INR @ 86.20,

JPY/INR @ 67.17.

Gold@1521, WTI Crude @ 55.10, Nifty @ 10984 (-45), 10 Year G-SEC @ 6.59