MoneyControl Currencies Analysis
Frequently Asked Questions:
1. Which currency will be stronger in 2023?
2. How do you predict currency trends?
3. Which currency is doing the best right now?
4. Can Indian currency get stronger?
Latest Rupee Dollar Exchange Rate:
1 USD = 83.6197 INR Sep 26, 2024, 01:23 UTC
Trend Projected by Chanakya Research Team, for 26 September 2024
On Wednesday, 25th September 2024, the Indian currency Vs. US dollar, moved in narrow range. The rupee opened at 83.6260 and moved upto 83,6831 and then closed at 83.6184. Now Rupee is expected to show further weakness. The reserve bank of India is providing ample support to avoid sharp erosion in the currency and accordingly, Indian currency is expected to show marginal weak trend Vs. US dollar
Target 1 83.68
Target 2 83.74
Stop loss 83.58
Rupee Dollar Exchange Rate Discussion:
The dollar index (DXY00) Tuesday fell slightly by -0.04%. The dollar Tuesday gave up overnight gains and turned lower as T-note yields fell on the weaker-than-expected US May retail sales report. Also, Tuesday’s rally in the S&P 500 to a new record high curbed liquidity demand for the dollar.
The dollar Tuesday initially moved higher based on comments from New York Fed President Williams, who said the US economy is “moving in the right direction.” Comments from other Fed presidents Tuesday were hawkish and supported the dollar as well after St. Louis Fed President Musalem, Boston Fed President Colins, Dallas Fed President Logan, and Richmond Fed President Barkin said the Fed needs more data before it can cut interest rates. Also, Tuesday’s stronger-than-expected report on US Apr manufacturing production was bullish for the dollar.
US May retail sales rose +0.1% m/m, weaker than expectations of +0.3% m/m. Also, Apr retail sales were revised downward to -0.2% m/m from the previously reported unchanged m/m.
US May manufacturing production rose +0.9% m/m, stronger than expectations of +0.3% m/m.
FPI Flow details from Shrikant Chouhan,
Head Equity Research, Kotak Securities:
FIIs end up buying Indian stocks worth over Rs 26,000 crore in June,
Shrugging off all worries related to elections, foreign institutional investors (FIIs) have ended up buying Indian stocks worth about Rs 26,565 crore in June – before the Union Budget and India’s inclusion in JP Morgan’s bond index.
After being net sellers in the last two months, a U-turn by FIIs comes amid expectations that reforms will continue after the elections. Improved GDP growth forecast and solid earnings by India Inc has also increased the appeal for FIIs, analysts say.
“Political stability despite the BJP not getting majority on its own, and the sharp rebound in markets aided by steady DII buying and aggressive retail buying, has forced the FIIs to turn buyers in India. It appears that FIIs have realised that selling in the most performing market would be a wrong strategy. FII buying can sustain provided there is no sharp up move in U.S. bond yields,” said Dr VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.
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Which currency will be stronger in 2023? moneycontrol
The United Nations officially recognises 180 currencies worldwide as legal tender. However, popularity and wide usage do not necessarily equate to the value or strength commanded by a currency. The concept of currency strength revolves around the purchasing power of a nation’s currency when exchanged for goods, services, or other currencies.
Currency strength is determined by evaluating the number of goods and services which can be purchased with one unit of the national currency and the amount of foreign currency obtained in exchange. A comprehensive analysis of various local and international factors is necessary to ascertain whether a currency holds the title of the most valuable or expensive in the world. These factors include supply and demand dynamics in the foreign exchange markets, inflation rates, domestic economic growth, the policies implemented by the relevant central bank, and the country’s overall economic stability.
10.United States Dollar (USD)
The currency of the United States of America is USD, or the US Dollar. It is the most widely traded currency globally and holds the position as the primary reserve currency. Despite its popularity, it ranks 10th among the world’s strongest currencies.
Also Read: 1 USD to INR: From 1947 to 2023
9: Euro (EUR)
The Euro (EUR) is the official currency of the Eurozone, comprising 19 member states of the European Union. It is the second-largest reserve currency and the second-most traded currency worldwide. The euro stands as one of the strongest currencies, holding the 9th position.
Also Read: Top 10 largest economies in the world in 2023
8: Swiss Franc (CHF)
The Swiss Franc (CHF) serves as the currency of Switzerland and Liechtenstein. Known for the stability of its economy, Switzerland is among the world’s wealthiest countries.
7: Cayman Islands Dollar (KYD)
The official currency of the Cayman Islands is the Cayman Islands Dollar (KYD). Although it ranks 7th among the strongest currencies, its value is the 5th highest globally. Initially using the Jamaican Dollar, the Cayman Islands adopted their own currency in 1972.
Also Read: Top 10 richest countries in the world by GDP per capita in 2023
6: Gibraltar Pound (GIP)
The Gibraltar Pound (GIP) is the currency of Gibraltar, pegged at par value to the British pound sterling (GBP). As a British overseas territory, Gibraltar depends on sectors like tourism and e-gaming. The GIP holds the 6th position among the strongest currencies.
5: British Pound (GBP)
Great Britain uses the British Pound (GBP), which is also pretty broadly used in other countries and territories. As the world’s 5th strongest currency, it holds a significant place in global finance. London’s status as a financial hub and Britain’s extensive trade activities contribute to the strength of the pound.
Also Read: World’s most powerful passport rankings 2023
4: Jordanian Dinar (JOD)
The Jordanian Dinar (JOD) has served as the currency of Jordan since it replaced the Palestinian pound in 1950. Jordan’s fixed exchange rates and diversified economy have contributed to the high value of its currency, ranking it as the 4th strongest globally.
3: Omani Rial (OMR)
The Omani Rial (OMR) is the currency of Oman and was introduced after the country ceased using the Indian Rupee as its official currency. As a country with significant oil reserves, Oman’s economy heavily relies on the oil sector. The Omani Rial, which is tied to the US dollar, is the third most valuable currency in the world.
2: Bahraini Dinar (BHD)
The Bahraini Dinar (BHD) serves as the currency of Bahrain, an island nation in the Arabian Gulf heavily reliant on oil exports. The BHD is pegged to the US Dollar and is exclusively used in Bahrain. With a strong expat community, including a significant number of Indians, the BHD holds the position as the second strongest currency globally.
Also Read: Top 10 powerful countries in the world in 2023
1: Kuwaiti Dinar (KWD)
The highest-valued currency in the world is the Kuwaiti Dinar (KWD). Since it was first introduced in 1960, the Kuwaiti dinar has consistently ranked as the world’s most valuable currency. Kuwait’s economic stability, driven by its oil reserves and tax-free system, contributes to the high demand for its currency. Among Indian expats, the INR to KWD exchange rate is particularly popular.
How do you predict currency trends? moneycontrol
3 Common Ways to Forecast Currency Exchange Rates
Purchasing Power Parity.
Relative Economic Strength.
Econometric Models of Forecasting Exchange Rates.
Which currency is doing the best right now?
The highest-valued currency in the world is the Kuwaiti Dinar (KWD). Since it was first introduced in 1960, the Kuwaiti dinar has consistently ranked as the world’s most valuable currency.
Can Indian currency get stronger? moneycontrol
6 reasons why many analysts expect Indian rupee could head towards 75/USD
Higher the reserves, the more stable the currency. Conclusion: Other factors like unemployment, equity market strength, volatility in crude oil prices, and money supply affect exchange rates. Nonetheless, the INR has several factors aligned in its favor, and as a result, many analysts forecast the INR to strengthen by 2025.
