◂ Event Timeline

Jun 30, 2023MACROIndia

Indian rupee to struggle on more Fed rate hike bets; US yields surge - Markets

The rupee was expected to weaken after U.S. yields and the dollar index rose on stronger-than-expected GDP and lower jobless claims. Markets priced nearly an 85% chance of a Fed hike next month, and the 2-year Treasury yield reached about 4.90%.

WHY IT MATTERS

Higher U.S. yields and a firmer dollar make dollar-denominated commodities more expensive for importers using weaker currencies, which can curb demand.

AFFECTSDXY▲USDINR▲

SOURCE
brecorder.comReutersJun 30, 2023

Price reaction & history

DXY▲bullishSO FAR1d -0.1%5d -0.4%20d -1.5%

After 2,356 past bullish macro events, DXY moved a median +0.2% over 5 sessions (60% higher; middle half -0.3% to +0.7%), and +0.4% over 20.

Apr 26, 2024Indian rupee to see muted reaction to US inflation flare-up - Markets - Business Recorder-0.3%
Sep 28, 2023Indian rupee poised to test record low as oil prices, US yields climb - Markets - Business Recorder+0.5%
Jan 31, 2024Indian rupee to weaken as odds of Fed rate cut in March diminish - Markets - Business Recorder+0.3%
Mar 15, 2024Indian rupee poised to weaken as Fed rate cut expectations recede more - Markets - Business Recorder+0.5%
Feb 22, 2021US money markets bringing forward Fed rate hike bets to end-2022 - Markets - Business Recorder+1.0%

USDINR▲bullish

Not enough comparable past events yet for a historical read.

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

DXY · GP ▸

——— · ·

USDINR · GP ▸

——— · ·

Loading…