The Indian rupee gained modestly in Asia on Wednesday.
Foreign portfolio inflows and lower crude oil prices provided support to the Indian rupee.
Market participants awaited the HSBC India Services PMI on Wednesday, which will be followed by the release of the Federal Reserve minutes.
The Indian rupee (INR) gained modestly and the US dollar (USD) weakened on Wednesday. Foreign portfolio inflows into the stock market have resumed after post-election outflows, which could boost the Indian rupee. Also, lower crude oil prices also helped limit the losses of the Indian rupee.
Market participants are eyeing the final reading of the HSBC India Services PMI on Wednesday, which is expected to rise to 60.4 in June from 60.2 in the previous reading. In the US, the ADP employment change, the June ISM Services PMI and the FOMC minutes will be released later on Wednesday. The Fed Chairman’s cautious stance could support the dollar. Also, any further improvement in indicators regarding the US economy could boost the dollar and boost USD/INR.
