"However, Friday is the last day of the fiscal year, and it will hardly be a surprise if the RBI (Reserve Bank of India) has a say in the day's proceedings.”
There will be "very good two-way interest" during the
day, he added.
The rupee's closing level on the last day of the fiscal year
is tied up to the dividend that the RBI pays out to the federal
government.
Other Asian currencies rose on Friday and the dollar index dropped to near 102. Futures indicated that U.S. equities were likely to extend the recovery prompted by bets that the recent turmoil in the U.S. banking sector will not lead to a broader financial crisis.
Asian equity gauges were up by as much as 1.6% and Indian equities, resuming trade after Thursday's holiday, are poised to track peers. "Risk sentiment has improved markedly amid a stabilisation of sentiment towards banks. Demand for safe-haven USD and JPY has softened," DBS Research said in a note. U.S. yields rose as receding banking concerns prompt investors to reassess the size of rate cuts the Federal Reserve is likely to deliver later this year.
Futures indicate the Fed rate will be at around 4.40% by Dec
this year, compared to below 4% at the height of fears around
the U.S. banking sector KEY INDICATORS:
** One-month non-deliverable rupee forward at 82.23;
onshore one-month forward premium at 13.5 paise
** USD/INR NSE April futures settled on Wednesday at 82.43
** USD/INR April forward premium at 11.0 paise
** Dollar index down at 102.14
** Brent crude futures down 0.1% at $79.2 per barrel
** Ten-year U.S. note yield at 3.57%
** SGX Nifty nearest-month futures at 17,251. Nifty50
Index closed at near 17,080 on Wednesday.
** As per NSDL data, foreign investors bought a net $236.8mln
worth of Indian shares on March 28
** NSDL data shows foreign investors bought a net $71.9mln worth
of Indian bonds on March 28
(Reporting by Nimesh Vora; Editing by Sohini Goswami)
