USD/INR renewed its all-time high in June. In July, the pair is forecast to remain high, economists at Mizuho Bank report.
If oil prices remain at current level, the impact on INR is likely to be minimal
“If crude oil prices remain as they are now, it would not significantly impact the Indian rupee market.”
“Even though market participants are advised to remain cautious about interest rate hikes in the US, depending on economic indices, a fall in US interest rates could lead the Indian rupee to appreciate. The rest depends on market interventions by the central bank.”