Thursday, 9 July 2020
- Dollar eyes multi-week lows as risk assets rally
- Asian stocks set to rise as focus swings to recovery prospects
- Oil settles higher on improving U.S. gasoline demand
The dollar nursed losses against most currencies on Thursday as a rally in riskier assets such as global equities and commodities put a dent in safe-haven demand for the U.S. currency.
Against the euro the dollar was quoted at $1.1334, close to a three-week low. The greenback was also close to a three-week low against the pound last trading at $1.2614. Sterling held steady at 89.86 pence per euro.The dollar was little changed at 107.32 yen.
Our View on USD / INR
The rupee is likely to open flat around 74.98.
The Rupee is likely to have resistance at 75.24 (14 DMA) and 75.53 (Bollinger Band) and support at 74.40 (Bollinger Band) and 74.00 (Big Figure)
Asian stocks were expected to rise on Thursday, as hopes of a robust economic recovery offset concerns over flare-ups in the coronavirus pandemic, and as investors looked ahead to earnings season.
Australian S&P/ASX 200 futures were up 0.85%, Japan’s Nikkei 225 futures added 0.16%, and Hong Kong’s Hang Seng index futures rose 0.82%. E-mini futures for the S&P 500 edged up 0.08%.
Demand for technology stocks lifted U.S. shares and helped the Nasdaq add 1.44% to 10,492.50, its fourth record closing high in five days. The Dow Jones Industrial Average rose 0.68% and the S&P 500 gained 0.78%. MSCI’s broadest index of Asia-Pacific shares outside Japan closed 1.29% higher, helped by Chinese stocks, which have rallied for seven-straight days. Emerging market stocks rose 1.67%.
Our View on Stock Market
The Indian stock market is expected to open Flat to Slightly positive around 20 to 30 points from yesterday close.
The Nifty futures are likely to open around 10,700.
The likely range for the day is 10,550 – 10,800
Oil prices settled higher on Wednesday as U.S. gasoline consumption showed signs of a recovery, but price gains were limited by rising crude inventories and an increase in coronavirus infections.
Brent crude futures settled up 21 cents at $43.29 a barrel. U.S. West Texas Intermediate (WTI) crude futures rose 28 cents to settle at $40.90 barrel.
Source : Reuters
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