United Kingdom PPI Output YoY

United Kingdom Retail Price Index YoY

United Kingdom Inflation Rate MoM

United Kingdom Inflation Rate YoY

The Indian rupee steadied around 90.65 per dollar, maintaining a narrow range, amid continued support from the Reserve Bank of India. The central bank has repeatedly intervened in the 90.70–90.80 zone, offering dollars to absorb demand and prevent sharp swings. Traders noted that this consistent presence provides a clear signal of the RBI’s comfort level with the pair, limiting speculative pressure. At the same time, India’s recent trade agreements with the United States and the European Union, along with a growth-focused federal budget, provide a broader backdrop. This underpins investor confidence and supports potential capital inflows, sustaining the currency's stability. Meanwhile, mild weakness across Asian currencies and a firm dollar index provided limited headwinds, keeping the rupee range-bound. Market participants are also watching the Federal Reserve’s January meeting minutes and upcoming US economic data for cues on the broader policy trajectory.

Indian Rupee Holds Steady Amid RBI Support

The BSE Sensex index was largely unchanged to around 83,400 on Wednesday, halting a two-session winning streak, as cautious sentiment amid a lack of meaningful domestic catalysts limited follow-through on AI-driven momentum from Infosys’s collaboration with Anthropic. The company also unveiled its AI-first value framework, aiming to capture a share of the estimated $300 billion AI services market. The IT sector, however, dropped more than 2.5% on the day, led by Infosys, down nearly 2%. Tata Consultancy Services, HCL Technologies, and Wipro also fell 0.6% to 1.3%. In contrast, SBIN (+0.6%), Bajaj Finance (+0.5%), ITC Limited (+1.4%), and JSW Steel (0.9%) outperformed. Looking ahead, markets await upcoming PMI flash readings to gauge the country’s economic health.

Indian Stocks Open Little Changed

The International Monetary Fund on Wednesday urged Japan to continue raising interest rates and refrain from loosening fiscal policy, warning that cutting the consumption tax would “erode fiscal space and add to fiscal risks.” The advice comes after Prime Minister Sanae Takaichi’s landslide win and her pledge to suspend the 8% food tax for two years, raising concerns about potential pressure on monetary policy. The global lender also stressed the Bank of Japan’s “continued independence and credibility,” saying it is “appropriately withdrawing monetary accommodation” and that gradual hikes should move rates toward neutral by 2027. The Bank of Japan ended its stimulus in 2024 and lifted rates to 0.75% in December, a 30-year high. With inflation above 2% for nearly four years, the IMF expects two more hikes this year and another in 2027.

It also welcomed Japan’s commitment to a flexible exchange rate, saying it would help absorb external shocks and maintain price stability.

IMF Urges Japan to Hike Rates, Avoid Tax Cuts

Copper futures rose to around $5.7 per pound, rebounding from a more than one-week low as prices stabilized following recent declines amid a stronger US dollar. The greenback remained firm as investors awaited details from the Federal Reserve’s latest policy meeting for clues on the rate outlook. However, gains were slightly tempered by rising copper inventories in exchange-monitored warehouses, which climbed to their highest level in roughly 11 months, reinforcing concerns about near-term oversupply. Analysts cautioned that it may take time for stockpiles to be drawn down, particularly during seasonal holiday periods when physical demand typically slows. On the supply side, Chilean miner Antofagasta reported a sharp increase in annual core earnings, supported by last year’s record copper prices.

Trending Symbols And Events

Most latest news, events and ideas for smart decisions

Latest News