Indian rupee range-bound despite weaker US dollar, set to trail most Asian peers: Reuters poll
BENGALURU (Reuters) -The Indian rupee will trade in a narrow range over the next six months as global risk-off sentiment slows capital inflows to a trickle, potentially offsetting gains from a weaker U.S. dollar, a Reuters poll of FX analysts showed.
Despite the dollar index falling nearly 11% so far this year, the rupee has remained largely stable. The Reserve Bank of India has been shoring up its reserves to near record levels to limit volatility and to meet dollar obligations when needed.
Foreign portfolio investors have been net sellers of Indian assets this year.
Most strategists in the June 30–July 2 Reuters poll said they did not expect the rupee to make any meaningful gains. This comes even as global investors sell American assets over concerns rising debt levels in the world's largest economy are unsustainable in the long run.
In three months the rupee is forecast to be down around 0.1% from current levels at 85.75 per dollar. It is then expected to trade at 85.50 in six months and weaken marginally to 86.13 in a year, according to the median forecast of 41 FX strategists.
"The overall trend for USD/INR should be downward, with the Fed cutting rates, the dollar index falling and possibly a breakthrough on the U.S. trade deal in the coming days," said Anil Bhansali, head of treasury at Finrex Treasury Advisors.
"It's going to be a slow and steady journey for the rupee because the RBI is currently buying dollars to meet its liabilities."
U.S. President Donald Trump said on Tuesday a trade deal could be reached with India.
The rupee has been a laggard compared to most regional peers, down around 0.1% for the year. The Korean won, Thai baht, Malaysian ringgit and Singapore dollar have gained more than 5%.
However, the RBI's recent policy stance shift to "neutral," signalling the end of its brief rate-cutting cycle, may help underpin the currency.
"(Given) better growth prospects, with a lot of monetary and fiscal stimulus being front-loaded and the expectation India might end up benefiting on the trade front compared to peers, there is a case for the rupee to somewhat appreciate from where we are today," said Sakshi Gupta, principal economist at HDFC Bank.
(Other stories from the July foreign exchange poll)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Forbes
36 minutes ago
- Forbes
Wealth Of Thailand's 50 Richest On Forbes List Rises Over 11% To $170.5 Billion
Red Bull's Chalerm Yoovidhya & family retain top spot SINGAPORE (July 3, 2025) – The combined wealth of tycoons on the 2025 Forbes list of Thailand's 50 Richest rose more than 11% to US$170.5 billion, despite slower-than-expected economic growth amid trade tensions and mounting political uncertainty. The complete list can be found here, as well as in the July issue of Forbes Asia and the August issue of Forbes Thailand. Overall, the net worths of nearly half the listees were up with the biggest dollar jump—$8.5 billion—recorded by the Red Bull family, led by Chalerm Yoovidhya. In the No. 1 position for the second year in a row, their wealth skyrocketed to a record $44.5 billion as annual revenue of the energy drinks giant rose to €11.2 billion ($12.9 billion) in 2024 on worldwide sales of nearly 13 billion cans. The Chearavanont brothers of the Charoen Pokphand group retained their position as the country's second-richest with their net worth up by 23% to $35.7 billion. The group is doubling down on digital infrastructure, investing $1 billion with BlackRock to build data centers. The group's fintech unit Ascend Money recently got approval to set up a virtual bank. Energy-and-telecoms tycoon Sarath Ratanavadi climbed two spots to No. 3 for the first time with $12 billion, up from $9.2 billion last year. Completing the merger between his Gulf Energy Development and Intouch Holdings and listing the combined entity in April as Gulf Development powered his ascent. Taking the No. 4 spot is beverage tycoon Charoen Sirivadhanabhakdi, whose net worth was relatively flat at $10.5 billion. In a key move, the patriarch transferred some holdings to his five children but being the group founder, the fortune continues to be listed under his name. Rounding out the top five on the list is the Central Group's Chirathivat family, who saw their wealth decline 13% to $8.6 billion, as weak consumer sentiment impacted the retail sector. A total of 19 listees faced a downdraft. Coffee magnate Prayudh Mahagitsiri's (No. 18, $1.4 billion) wealth took a hit as his PM Group's long-standing joint venture with Nestle ended. Two patriarchs passed away since the last ranking: Vanich Chaiyawan, chairman emeritus of Thai Life; and Pongsak Viddayakorn, cofounder of Bangkok Dusit Medical Services, who went on to build a separate healthcare business under Principal Capital. Their fortunes are now listed under the Chaiyawan family (No. 6, $4.2 billion) and the Viddayakorn family (No. 30, $1.1 billion). Four people fell from the ranks, including renewable energy magnate Somphote Ahunai, whose Energy Absolute faced financial stress. The minimum net worth to qualify for the list dropped to $420 million from last year's $550 million. The top 10 richest in Thailand are: This list was compiled using shareholding and financial information obtained from the families and individuals, stock exchanges and analysts, the Stock Exchange of Thailand and regulatory agencies. Unlike the Forbes World's Billionaires list rankings, this list encompasses family fortunes, including those shared among extended families of multiple generations. Public fortunes were calculated based on stock prices and exchange rates as on June 13. Private companies were valued based on comparisons with similar companies that are publicly traded. The list can also include foreign citizens with business, residential or other ties to the country, or citizens who don't reside in the country but have significant business or other ties to the country. For more information, visit About Forbes: Forbes is an iconic global media brand that has symbolized success for over a century. Fueled by journalism that informs and inspires, Forbes spotlights the doers and doings shaping industries, achieving success and making an impact on the world. Forbes connects and convenes the most influential communities ranging from billionaires, business leaders and rising entrepreneurs to creators and innovators. The Forbes brand reaches more than 140 million people monthly worldwide through its trusted journalism, signature ForbesLive events and 49 licensed local editions in 81 countries. For media queries, please contact: Catherine Ong Associates Pte Ltd Catherine Ong, cell: +65 9697 0007, Email: cath@ Chenxi Wang, cell: +65 8187 3215, Email: chenxi@
Yahoo
39 minutes ago
- Yahoo
300 India-based Chinese workers in Apple's Foxconn facility ordered home
July 2 (UPI) -- Apple's largest iPhone producer has reportedly ordered hundreds of its India-based Chinese workers to return to their native China but for unspecified reasons. Foxconn, which manufactures more than 70% of Apple's iPhones, told more than 300 Chinese employees to end work at Foxconn's factory in India and to return home, Bloomberg first reported Wednesday. The loss accounts for a significant number of Foxconn's iPhone facility staff in India with support remaining only from workers via Taiwan. According to Bloomberg, why the order was given was unclear, but Chinese officials allegedly had been requesting that government regulators curb knowledge and technological resources away from India to preserve China's weighty manufacturing abilities. That report went on to cite an unspecific source saying Foxconn for nearly the last two months had been ordering Chinese workers back. Apple's action comes as its partners and Foxconn have boosted iPhone production in India as it seeks to scale back reliance on China. Currently, India makes one-fifth of global iPhone output. A $435 million investment by Foxconn for a semiconductor plant in India got the go-ahead in May by Indian government officials. In May 2023, Foxconn officials broke ground on its new $500 million Indian manufacturing facility in Telangana, on 196 acres outside the city of Hyderabad in south-central India that was expected to create at least 25,000 jobs. Apple CEO Tim Cook, meanwhile, has indicated that Apple will import more iPhones via India as one avenue to manage the ongoing uncertainties of U.S. tariff and other trade policies. In February, Apple announced its $500 billion four-year-investment to expand its U.S. facilities. Apple had a goal to produce by late next year the large part of American-bound iPhones in India, but may see delays with Foxconn starting mass production of the iPhone17. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
an hour ago
- Yahoo
MGM Resorts (MGM) Soars 7.27% as Macau Gaming Revenues Surge
MGM Resorts International (NYSE:MGM) is one of . MGM Resorts extended its winning streak to a third straight day on Tuesday, adding 7.27 percent to close at $36.89 apiece as investors cheered higher-than-expected gaming revenues in Macau. According to data released by Macau's Gaming Inspection and Coordination Bureau, gross gaming revenues (GGR) increased by 19 percent in June to 21.06 billion patacas ($2.6 billion), or a $417-million difference from the same period last year. Part of the surge was attributed to the series of concerts by Cantopop icon Jacky Cheung, which began in mid-June and will continue until early July. According to Macao Daily, GGR from June 15 to 22 alone reached an average of 685 million patacas per day. Aerial shot of an entertainment resort, its buildings and gaming amenities sprawling along the seafront. Following the news, shares of casino operators such as MGM Resorts International (NYSE:MGM), Las Vegas Sands (NYSE:LVS), and Wynn Resorts (NASDAQ:WYNN) all surged. While we acknowledge the potential of MGM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
