Currency Market Updates: 2 Jul

Globally, as FED meeting minutes, US economic data for Apr-June quarter is expected to dismal and US economy would require ultra-supportive monetary policy to support economic recovery. US FED members also discussed about the yield curve controlled. (A policy measure implemented by Bank of Japan). US manufacturing PMI data surprised on upside at 52.6 against previous reading 43.1. On the other hand, Euro manufacturing PMI released below 50 at 47.4.

On domestic front, GST collection in June month stood at INR 90,917 Cr. It is noteworthy that as Government had allowed relaxation of GST tax filing in April, May. A lot of transactions of previous months were filed in June. 10 year benchmark bond yield fell to 5.84%. USDINR pair trading flat near 75.50 levels. USDINR pair has support near 75.35-40 levels and resistance near 75.80-85