The local currency consolidated in a narrow range on Monday after appreciating sharply against the US dollar in Thursday’s session.
On the domestic front, market participants are now awaiting the rescheduled policy meeting date after the government appointed three new MPC members.
For today, brokerage Motilal Oswal Financial Services expects USDINR (Spot) to quote in the range of 73.05 and 73.50.
The greenback was weighed down after White House Chief of Staff said on Monday that there was still potential to reach an agreement with US lawmakers on more coronavirus relief and that Trump was committed to getting the deal done.
Euro and Pound gained in Monday’s session after services PMI in September rose marginally as compared to the previous month. Today, from the US focus will be on trade balance number and widening trade deficit could keep gains capped for the dollar.
At the same time, comments from the Fed Chairman and ECB President will be awaited and could trigger volatility in major crosses.