Analyst sees rupee staying below 97 despite pressure
In short
Naveen Mathur of Anand Rathi Shares & Stock Brokers said the rupee should stay below 97 against the dollar. He pointed to high crude prices, a stronger dollar, and high US bond yields as pressure points, but said RBI reserves should help.
He also expects a 25-basis-point RBI rate hike in October. The reporting does not say if the forecast will prove right or what could change it.
What the reporting says
Naveen Mathur of Anand Rathi Shares & Stock Brokers said the rupee is likely to stay under pressure from high crude prices, a stronger dollar and elevated US bond yields. He expects strong RBI reserves to stop the currency from breaching 97 against the dollar, and also sees a 25-basis-point RBI rate hike in October. The report does not say whether the forecast reflects current trading levels or a firm policy outlook.
Why it matters
Naveen Mathur, Director of Commodity & Currencies at Anand Rathi Shares & Stock Brokers, expects the rupee to remain under pressure from high crude prices, a stronger dollar and elevated US bond yields. He says strong RBI reserves should prevent a break above 97 per dollar and also expects a 25-basis-point RBI rate hike in October. The reporting presents this as an outlook, not a policy decision.