USDINR traded lower witnessing gap down opening after holiday. Prices ended at 65.12 for the day on positive equity indices and strong FII inflows despite rally in dollar index.
The dollar index, which measures the greenback against a basket of six major currencies, pulled away from 4-1/2- month lows to 99.751 after solid data backed expectations for more U.S. interest rate hikes this year. We expect prices to trade lower in short term. USDINR has immediate resistance at 65.40/65.60. Important support lies at 65/64.80.