If the US could not do anything to North Korea it was
because of NK’s nuclear arsenal. On the other hand Iran’s main deterrent is its
control over the strait of Hormuz which enables it to protect its regime
against a US-Saudi enabled topple. Now with the US sanctions back in effect
Iran would threaten closing the strait of Hormuz which in turn will create
supply fears for oil globally. Break of 72.80 in Brent, technically also
signals 78 levels in the next 1-2 months.
News reports of sale of a packaging companies stake to a US
PE again proves that decision makers want to close their stake sale / capital
raising / borrowing plans before the 23rd May election results. The
story in USDINR remains the same, Brent is pointing towards a higher level for
USDINR while inflows and intervention keep Rupee losses in check. Today we have
the RBI swap auction because of which price action during the day could be a
bit unpredictable. Looking at the selling in USDINR yesterday it seems that
69.87 should hold for the day, while further gains in Brent can take it beyond
70 levels towards 70.30. On the other hand Brent prices would ensure that
USDINR would be unable to go below 69.30 levels in the next fortnight. CMP
69.59, Range 69.87-69.30.
No comments:
Post a Comment