Ella 
The dollar opened lower on Monday, while the Indian rupee strengthened. Investor inflows into Indian markets and stronger growth data have prompted economists to raise their growth forecasts for Asia’s third-largest economy. Data released by India’s Statistics Department last week showed that India’s second-quarter gross domestic product grew by 7.6%, driven by strong manufacturing performance and government spending.
The Reserve Bank of India (RBI) Monetary Policy Committee will hold its next policy meeting from December 6 to 8. Markets expect the Reserve Bank of India to keep interest rates on hold while taking a hawkish stance amid rising economic growth and rising food prices, which poses upward risks to near-term inflation.
Additionally, state election results are likely to be welcomed by investors and financial markets as they ease political uncertainty and market concerns about massive fiscal populism ahead of national elections.
The S&P Global India Services PMI for November will be released on Tuesday. The indicator is expected to slow to 58.0 from 58.4. Investors will be closely watching the Reserve Bank of India’s interest rate decision on Friday, with rates expected to remain unchanged at 6.50%.
