MC: Expect rupee to see further strength today: ICICIDirect
ICICIDirect.com has come out with a research report on currencies. The broking firm expects the Indian rupee to see further strength in today’s trade.
The report says, "Foreign fund flows into and out of the share market are a key factor that influences the rupee’s direction. So far in 2010, foreigners have invested a net USD 8.8 billion in Indian shares, adding to last year's record of USD 17.5 billion. In the currency futures market, the most traded near-month dollar-rupee contract on the NSE closed at 47.18. The USD/INR June contract open interest decreased by 14.3% on the back of a positive closing. The August contract also witnessed an increase in open interest by 0.1%. We expect the INR to see further strength in today’s trade. We expect the US dollar to remain weak. Utilise the highs in the USD/INR July contract to sell."
