Indian Rupee Opens Steady as Investors Await US Inflation Data and ECB Meeting

13 Sep 2023 , 09:55 AM

The Indian rupee opened with little change against the US dollar as investors awaited crucial US inflation data and the ECB’s monetary policy meeting scheduled for September 13. At the opening, the rupee stood at 82.93 per dollar, showing a minor 0.01 percent increase from its previous closing rate of 82.92. India’s Consumer Price Index (CPI) exceeded expectations at 6.83%, along with Industrial Production (IIP) at 5.7%. 

The market’s focus is now on the US Consumer Price Index (CPI) data, which will offer insights into the Federal Reserve’s stance on managing inflation. The dollar index remains stable near a six-month high, and US 10-year bond yields are above 4.25% ahead of the ECB monetary meeting. 

CR Forex predicts the rupee may approach 82.50 once it breaches 82.80, but 83.25 will remain a strong resistance level. 

Among Asian currencies, several saw declines, with the Thai Baht, Japanese yen, Indonesian rupiah, South Korean won, Singapore dollar, Malaysian ringgit, and Philippine peso all facing losses. The dollar index, measuring the US dollar’s strength against major currencies, slightly decreased from its previous close, trading at 104.67, compared to 104.71.