USD/INR Price News: Rupee bulls attack 75.00 on optimism over India GDP, covid conditions

• USD/INR refreshes intraday low, extends previous day’s losses.
• Indian FinMin Sitharaman eyes double-digit GDP growth for FY 2022.
• India prints biggest single fall in active coronavirus cases since March.
• US dollar remains weak amid sluggish markets, Fedspeak eyed for fresh impulse.

USD/INR stays offered around an intraday low of 75.05, down 0.07% on a day as European traders prepare for Wednesday’s bell. In doing so, the Indian rupee (INR) pair drops for the second consecutive day as positive headlines concerning India join the softer US dollar.

Among the key positives were comments from Indian Finance Minister (FinMin) Nirmala Sitharaman. The Union Finance Minister was quoted by the Mint as saying, “The country is looking at near close to double-digit growth this year and India will be one of the fastest-growing economies.” The news shared by Reuters also states that Indian FinMin Sitharaman stressed, “In 2022, the economic growth will be in the range of 7.5-8.5%, which will be sustained for the next decade.”

On a different page, India’s active COVID-19 cases drop the most since March 5 while flashing 178,098 level per Reuters. However, the daily rise in coronavirus infections rose from 13,058 reported yesterday to 14,623, per the news.

Alternatively, the US Dollar Index (DXY) fades rebound from a three-week low, flashed on Tuesday, by dropping back to 93.70 at the latest. The greenback gauge prints a six-day downtrend while ignoring firmer Treasury yields amid hopes of further stimulus and sluggish session.

That being said, the US 10-year Treasury yields step back from the highest since late May while printing 1.8 basis points (bps) of an upside to 1.652% by the press time.

Looking forward, USD/INR traders will pay close attention to the Fedspeak during a light calendar ahead of Friday’s preliminary activity numbers for October.

Technical analysis

A one-week-old bullish triangle formation keeps USD/INR buyers hopeful until the quote stays beyond 74.88. However, an upside clearance of 75.25 becomes necessary for the bulls to retake controls.