Friday, 3 July 2020
- Dollar in narrow range as U.S. virus cases grow
- Asian stocks set to follow U.S. jobs rally,
- Oil up more than 2% on U.S. jobs data
The dollar was hemmed into a narrow range on Friday, supported by safe-haven flows as a resurgence of the coronavirus in the United States discouraged some investors from taking on excessive risk. Trading in currency markets on Friday may be subdued before the U.S. holiday.
Against the euro , the dollar was quoted at $1.1250 on Friday in Asia.The dollar held steady at 0.9469 Swiss franc on Friday after three straight days of gains. The British pound traded hands at $1.2471.The dollar was little changed at 107.50 yen .
Our View on USD / INR
The rupee appreciated sharply yesterday to 74.75 on account of Dollar inflows in the market.
The Rupee is likely to have resistance at 75.10 (100 DMA) and 75.45 (7 DMA) and support at 74.34 (7 month moving average) and 74.00 (Big Figure)
Asian stocks were likely to track a firmer Wall Street session on Friday after strong U.S. jobs data although growing Sino-U.S. tensions and a worrying surge in coronavirus cases is likely to cap gains.
Japan’s Nikkei 225 futures rose 0.45% and Australia’s S&P/ASX 200 futures climbed 0.58%.E-mini futures for the S&P 500 rose 0.14%. MSCI’s gauge of stocks across the globe gained 0.92%. The Dow Jones Industrial Average rose 0.36%, the S&P 500 gained 0.45% and the Nasdaq Composite added 0.52%.
Our View on Stock Market
The Indian stock market is expected to open positive around 40 to 50 points from yesterday close.
The Nifty futures are likely to open around 10,600.
The likely range for the day is 10,500 – 10,700
Oil futures gained more than 2% on Thursday, supported by a drop in U.S. unemployment and a drawdown in crude inventories, but a resurgence in U.S. coronavirus infections fanned concerns that economic activity will weaken in coming weeks.
Brent crude futures settled at $43.14 a barrel, rising $1.11, or 2.6%. U.S. West Texas Intermediate (WTI) crude futures settled at $40.65 a barrel, up 83 cents, or 2.1%.
Source : Reuters