The rupee declined on Monday as Asian currencies dropped at the start of a week full of high-profile events . Focus will now be on the November retail inflation numbers for the United States .
MUMBAI (MUMBAI) — The rupee declined on Monday as Asian currencies dropped at the start of a week full of high-profile events, including a US Federal Reserve meeting, with a stronger dollar weighing on mood.By 10:33 a.m., the rupee had fallen to 82.63 per dollar.IST is the time of year when the next close is 82.27.On dollar outflows and possible equity repositioning, the currency has underperformed its Asian counterparts over the past week, with traders keeping an eye on the stock markets results.
Over the past week, the Chinese yuan has increased by 2.8%, while the Indian yuan has declined by 1.2%.On Friday, US producer price data came in higher than anticipated, indicating that the Fed should maintain interest rates.The focus will now be on the November retail inflation numbers for the United States, which will be released on Tuesday, followed by the Fed's policy decision the next day.Markets could be volatile if the US CPI is released as a surprise on the upside and stifles the now dominant view that the Fed will raise rates, albeit perhaps for longer, according to HDFC Bank economists. The US central bank is projected to raise rates by 50 basis points, but the focus will be on the central bank's updated economic forecasts and Chair Jerome Powells press conference.Later this week, the Bank of England and the European Central Bank will host policy sessions.On Monday, the November CPI results will be published in India after business hours.According to a Reuters poll, it likely fell to a nine-month low of 6.40%.