Rupee Struggles as Fiscal Year End Demand Offsets Oil Drop
The Indian rupee faces pressure today as dollar demand from NDF maturities and equity outflows offsets lower oil prices. Year end demand keeps the dollar firm.
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Xurve View
The currency of India is expected to remain under pressure on Wednesday as domestic market dynamics and capital outflows counteract the relief provided by falling energy prices. Despite a significant drop in global crude benchmarks, the rupee is facing immediate hurdles from maturing non-deliverable forward (NDF) contracts and consistent selling by foreign investors. Market indicators suggest the rupee will open between 93.88 and 93.92 against the U.S. dollar, slightly weaker than its previous close of 93.8650.
