The currency of India increased in value on Tuesday against the world's reserve currency, rising from its lowest value in about 14 days amid a brighter outlook about efforts to develop the nation's economy, according to Bloomberg.
Thus far this year, international investors have injected roughly $22 billion into Indian stocks and bonds. Newly seated Prime Minister Narendra Modi is slated to unveil his budget for the subcontinent to the nation on Thursday.
"Expectations for a growth-friendly budget are adding to the sentiment and helping the rupee," co-head of currency and rates Ankur Jhaveri with brokerage Edelweiss Financial Services in Mumbai told the news outlet on Tuesday. "The government is likely to allow higher overseas investment in different businesses including railways, and unveil other polices aimed at boosting manufacturing.'"
The rupee advanced about 0.2 percent against the greenback on Tuesday after having slipped 0.5 percent during the Monday trade session. That marked its top slippage since the middle of last month.
Reuters reports anticipation is high that inflows to local shares will continue making their way into India.
The StoneX Group Inc. group of companies provides financial services worldwide through its subsidiaries, including physical commodities, securities, exchange-traded and over-the-counter derivatives, risk management, global payments and foreign exchange products in accordance with applicable law in the jurisdictions where services are provided. References to over-the-counter (“OTC”) products or swaps are made on behalf of StoneX Markets LLC (“SXM”), a member of the National Futures Association (“NFA”) and provisionally registered with the U.S. Commodity Futures Trading Commission (“CFTC”) as a swap dealer. SXM’s products are designed only for individuals or firms who qualify under CFTC rules as an ‘Eligible Contract Participant’ (“ECP”) and who have been accepted as customers of SXM. StoneX Financial Inc. (“SFI”) is a member of FINRA/NFA/SIPC and registered with the MSRB. SFI does business as Daniels Trading/Top Third/Futures Online. SFI is registered with the U.S. Securities and Exchange Commission (“SEC”) as a Broker-Dealer and with the CFTC as a Futures Commission Merchant and Commodity Trading Adviser. References to securities trading are made on behalf of the BD Division of SFI and are intended only for an audience of institutional clients as defined by FINRA Rule 4512(c). References to exchange-traded futures and options are made on behalf of the FCM Division of SFI.
Trading swaps and over-the-counter derivatives, exchange-traded derivatives and options and securities involves substantial risk and is not suitable for all investors. The information herein is not a recommendation to trade nor investment research or an offer to buy or sell any derivative or security. It does not take into account your particular investment objectives, financial situation or needs and does not create a binding obligation on any of the StoneX group of companies to enter into any transaction with you. You are advised to perform an independent investigation of any transaction to determine whether any transaction is suitable for you. No part of this material may be copied, photocopied or duplicated in any form by any means or redistributed without the prior written consent of StoneX Group Inc.