• USD/INR edges lower on Thursday in the early European session.
• INR appreciates amid a risk-on mood.
• The US Dollar Index remains steady near 93.80, exterting pressure on USD/INR.

USD/INR came under pressure after testing the intraday high around 75.15 on Thursday. The pair continued to trade in the 74.80 and 75.20 range for the past four sessions, following the depreciative move in the greenback. At the time of writing, USD/INR is trading at 74.95, down 0.13% for the day.

The US Dollar Index, which tracks the greenback performance against its six major rivals, trades at 94.83 with 0.02% losses. Investors digested Bank of Canada’s (BOC) hawkish tone. The BOC ended its quantitative easing (QE) and signaled that an interest rate hike may be coming sooner than expected amid concerts over higher inflation. The Bank of Japan (BOJ) maintained the status quo.

In addition to that, the European Central Bank (ECB) meeting is due later in the day.

As for now, investors are waiting for the US Gross Domestic Product, and  Initial Jobless Claims data to gauge the market sentiment.

USD/INR additional levels