
Societe Generale strategists highlight that USD/INR is drifting toward the lower end of its six-month 94.14-96.95 range, helped by recent FX-supportive measures from the Reserve Bank of India (RBI). They cite speculative INR buying on optimism over a possible US-India trade agreement, strong foreign interest in the Reliance Jio IPO, and RBI concerns about inflation, while warning that Oil, flows and US Dollar (USD) direction will determine rally durability.
"USD/INR is quietly gravitating toward the lower end of its six-month 94.14-96.95 range, supported by a series of FX-supportive measures unveiled by the RBI in recent weeks."

"The latest round of INR buying may be speculative on optimism surrounding a potential US-India trade agreement."
"Solid foreign participation in the ongoing $3.2bn Reliance Jio IPO may also be helping."
"The RBI minutes published yesterday confirmed growing concern over the inflation outlook."
"While RBI actions are helping stabilise the currency for now, the durability of the rally will ultimately depend on oil prices, portfolio flows and the broader direction of the dollar."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)