USD/INR ends down on Greenko dlr bonds related flows, likely FII inflows into local stocks

The rupee settled at 68.78 against 68.76 at the previous close. The local unit moved in 68.76-68.94 per dollar band intra-day.
Dollar/rupee ended down Wednesday on selling by foreign banks amid likely overseas inflows related to Greenko dollar bonds. Foreign banks sold in the spot. Greenko dollar bond related flows supported demand for local currency. FII inflows into local equities were also there. India's leading clean energy company Greenko raised $1 billion in an overseas debt sale. Greenko bonds were oversubscribed one-and-a-half times. Local stocks ended higher as investors took part in value buying in select beaten down blue chip shares.

The dollar hovered just off two-month highs on Wednesday as robust U.S. data all but eliminated chances the Fed will deliver a half-point interest rate cut, while the euro remained near two-year lows on weak inflation and growth readings. The focus will instead be on whether the Fed leaves the door open for further easing to insulate the economy from slowing global growth and fallout from trade conflicts.
The pound, which has emerged as one of the loudest voices of opposition to the government’s handling of Brexit, has slumped more than 4% in July, set for the biggest monthly drop since October 2016, when the currency plunged in a one-minute flash crash.

Oil prices rose for a fifth day on Wednesday, supported by a drop in U.S. inventories and investor expectations that the U.S. Federal Reserve will lower borrowing costs for the first time since the financial crisis more than a decade ago.
Gold held steady on Wednesday, on track for a third straight month of gains, as traders awaited a U.S. Federal Reserve statement that is widely expected to signal an interest rate cut. Spot gold was flat at $1,430.74 per ounce

Date	Time	Currency	Event	Actual	Forecast	Previous
31/07/2019	13.25	EUR	German Unemployment Change (Jul)	1K	2K	-1K
31/07/2019	14.30	EUR	CPI (YoY) (Jul)	1.1%	1.1%	1.3%

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