Anna 
The Indian Rupee (INR) exhibits a recovery on Monday, bouncing back from recent losses. The resurgence of the INR is attributed to the favorable US job data that has propelled Treasury yields and strengthened the US Dollar (USD). The upbeat performance of the US job market is anticipated to diminish expectations of early rate cuts by the US Federal Reserve (Fed), consequently bolstering the broad strength of the Greenback.
Market analysts had foreseen that the Reserve Bank of India (RBI) would maintain its interest rates unchanged until at least the third quarter. This contrasts with expectations for the US Federal Reserve, where anticipations of a key interest rate cut are envisioned in the next quarter.
Later in the day, the US ISM Services PMI is set to be released, attracting market attention. However, the focal point for the week remains the RBI interest rate decision scheduled for Thursday. Analysts widely predict that the RBI will maintain the status quo, continuing its trend of a sixth consecutive policy review without a change in interest rates.
As global economic dynamics, especially in the United States, continue to influence currency movements, the INR’s recovery is indicative of its resilience against external factors. The RBI’s cautious approach and the broader economic landscape will likely shape the trajectory of the Indian Rupee in the coming sessions.
