Rupee likely to trade in range of 54-56 per USD in short term

Rupee is likely to trade in the range of 54-56 per US dollar in the coming weeks with no visible trigger from international and domestic fronts, according to experts.

Even a treasury official from a mid-size public sector bank said the rupee was likely to be range bound in near-term as domestic economy was not providing the crucial support to the currency.

“Exports are not growing from the country. Imports are down largely due to low crude oil prices and less gold imports than any other factor.

So, the improvement in balance of payment (BoP) situation is not providing any comfort. In this situation, rupee is likely to be in 54-56 range per dollar till the fundamentals improve in the domestic front.

(Sourced)