USD/INR Price News: Sees capped upside to near 76.00 on a tepid rebound in oil prices

• USD/INR may find sellers near 76.00 amid easing uncertainty of the FOMC minutes.
• Oil prices are likely to see a decent correction amid a sluggish pullback.
• The RBI is expected to keep the repo rate unchanged on Friday.

The USD/INR pair has witnessed a sheer upside after rebounding sharply from weekly lows at 75.20. A mild pullback in the oil prices has harmed the Indian rupee, however, the pullback is likely to turn into a bearish impulsive wave soon amid easing supply concerns. This will lead to a correction in the asset around the round level resistance of 76.00

Uncertainty over the release of the Federal Open Market Committee (FOMC) minutes on Wednesday was underpinning the mighty greenback. However, the asset is likely to lose the upside momentum going forward as investors have shrugged off the fears of elevating interest rates by the Federal Reserve (Fed), whose impact reflects clearly in the US Treasury yields. The 10-year US Treasury yields have fallen to 2.58%, at the press time after printing a fresh three-year high at 2.66%.

Meanwhile, the US dollar index (DXY) is trading subdued in the Asian session despite the hawkish stance from the FOMC minutes.

Going forward, the market participants will keep an ever over the announcement of monetary policy by the Reserve Bank of India (RBI). This is the first monetary policy announcement by the RBI after Russia’s invasion of Ukraine.  The RBI is likely to maintain the status quo considering the higher oil prices in recent months, which are going to impact the GDP numbers of India. However, a higher forecast for inflation and a steep cut in the growth projections cannot be ruled out.