Anna 
On Thursday, the Indian rupee (INR) struggled to maintain recovery momentum, despite a weakening dollar. The Center for Economics and Business Research (CEBR) released a report on Wednesday forecasting that India is poised to become the world’s third-largest economy by 2032. The report further predicts that India will surpass both China and the United States by 2100, establishing itself as the world’s largest economic superpower.
Earlier in the week, Fitch Ratings added to the positive outlook for India, forecasting the country to be the fastest-growing in the world. Fitch projects a robust GDP growth of 6.5% in the 2024-2025 fiscal year. These optimistic economic indicators, however, failed to bolster the Indian rupee on Thursday.
Investors remain vigilant as India approaches its next general election, recognizing the pivotal role election outcomes play in shaping both domestic and foreign policies. The results of the election are expected to carry substantial implications for India’s economic trajectory.
Later in the day, market participants will turn their attention to the United States, focusing on key data releases, including initial jobless claims, November’s trade balance, and pending home sales. Despite the potential significance of these data points, traders are likely to adopt a more subdued stance as they enter holiday mode in 2024, potentially tempering the immediate market impact.
