Rupee surges as traders wait for RBI policy review decision
The rupee traded at 54.78/79 versus its previous close of 54.84/86 as traders await the Reserve Bank of India's policy decision at 11.00 am for direction.
The rupee traded at 54.78/79 versus its previous close of 54.84/86 as traders await the Reserve Bank of India's policy decision at 11.00 am for direction.
Markets were broadly positioned for a status quo at the policy review but a surprise rate cut can boost shares and indirectly hurt the Dollar-Rupee.
[caption id="attachment_561235" align="alignleft" width="380"]
Dollar-Rupee is seen moving in a 54.70 to 54.90 band until the policy review. Reuters[/caption]
Asian shares edge up tracking overnight gains in US stocks, as fresh signs of compromise maintain a new optimism that the US "fiscal cliff" budget tussle could be settled before tax hikes and spending cuts begin to bite early next year.
Dollar-Rupee is seen moving in a 54.70 to 54.90 band until the policy review.
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