USD/INR opens up on likely FII outflows from local stocks

The Indian rupee little changed at 70.14 pair now at 70.46 against 69.5850 previous close.
Pair to tip in 70.10-70.80 range today.
Dollar/rupee opened up with a gap Monday on likely overseas outflows from local stocks amid worsening risk-sentiments tracking flaring US-China trade war concerns. Chinese yuan plunged more than 1% falling to 11-year low, during morning trades. Risk-appetite dampened after US President Donald Trump said he would impose tariffs on more Chinese goods, potentially ramping up a trade war between the world's two largest economies.FII outflows from local equities and poor risk-appetite after Trump's announcement led to a sharp rise in USD/INR.

China's yuan tumbled more than 1% on Monday to 11-year lows on mounting fears over a sharp escalation in the U.S.-China trade war, sparking a sell-off in other currencies in the region. The broadening fallout of the trade dispute saw investors rushing into perceived safe-haven assets, with the Japanese yen rising to a seven-month peak.
the closely-watched U.S. employment data showed nonfarm payrolls increased by 164,000 jobs in July, fewer than the prior month, and wages increased modestly. data cemented expectations that the Federal Reserve will deliver another interest rate cut in September.

Oil prices fell on Monday amid concerns about weaker crude demand after U.S. President Donald Trump said he would impose tariffs on more Chinese imports, potentially ramping up a trade war between the world's two largest economies.
Gold prices jumped 1% to their highest level in more than six years on Monday, as the escalating trade war between the United States and China along with global growth worries drove investors towards safe-haven assets.

Research