USDINR MARKET UDPATE - Rupee hit a record low against the dollar for a second consecutive session and posted its worst weekly fall in nine-months, hurt by dollar demand from oil firms and gold importers as well the broad risk-off sentiment. The Reserve Bank of India stepped in to prop up the currency and prevent a mu ch sharper fall, estimating dollar sales of $250-300 million, slightly bigger than its projected intervention on Thursday . The past couple of sessions have resembled developments in May, when the rupee last tumbled to a stringofrecordlows, asrenewedglobalriskaversion is exposing India's economic challenges and its wide current account and fiscal deficits. The partially convertible rupee ended at 57.12/13 per dollar, according to SBI closing data, after hitting a record low of 57.32. Oil companies currently buy dollars through a competitive bidding via banks, and perceptions they are looking to buy dollars can lead to volatility and hurt the rupee.

USDINR trading range for the day is 56.627-57.703.

Rupee hit a record low hurt by dollar demand from oil firms and gold importers as well the broad risk-off sentiment.

RBI stepped in to prop up the currency and prevent a much sharper fall, estimating dollar sales of $250-300 million

SELL USDINR JUNE BELOW 57.05 SL 57.30 TGT 56.82-56.60

PROJECTION - Rupee slid to a new low despite US dollar sales by the central bank as demand from companies to repay maturing convertible bonds and oil companies' rush to lock in crude supplies at lower prices set the market course

EURINR MARKET UDPATE - EURINR yesterday traded with the positive node and settled 0.4% up at 71.735. Some pressure had been seen from the spot market also which closed at 1.253 that is down by -0.3ps. In yesterday's trading session EURINR has touched the low of 71.15 after opening at 71.2, and finally settled at 71. 735. For today's session market is looking to take support at 71.31, a break below could see a test of 70.89 and where as resistance is now likely to be seen at 71.99, a move above could see prices testing 72.25. Spread between EURINR JUNE & JULY contracts yesterday ended at 0.28, we have seen yesterday that the EURINR market had traded with a positive node and settled 0.4% up. Spread yesterday traded in the range of 0.22 - 0.49.

EURINR trading range for the day is 70.892-72.252

Euro edged higher buoyed by the European Central Bank's move to make funding easier for struggling banks.

The ECB's supportive move comes as Spain braces for a downgrade from ratings firm DBRS by the end of August

SELL EURINR JUNE BELOW 71.50 SL 71.75 TGT 71.36-71.15.

PROJECTION - Euro moved sharply lower falling to a fresh session low after a flurry of soft U. S. data, while investors awaited the outcome of an audit of ailing Span’s banking system.

GBPINR MARKET UDPATE - GBPINR yesterday traded with the positive node and settled 0.67% up at 89.165. Some pressure had been seen from the spot market also which closed at 1.5578 that is down by -0.06p s. In yesterday's trading se ssion GBPINR has touched the low of 87.8 after opening at 87.8, and finally settled at 89. 165. For today's session market is looking to take support at 88.18, a break below could see a test of 87.19 and where as resistance is now likely to be seen at 89.77, a move above could see prices testing 90.38. Spread between GBPINR JUNE & JULY contracts yesterday ended at 0.23, we have seen yesterday that the GBPINR market had traded with a positive node and settled 0.67% up. Spread yesterday traded in the range of 0.2 - 1.52.

GBPINR trading range for the day is 87.192-90.382.

GBP steadied when a ratings downgrade of the world's major banks knocked investor appetite for perceived riskier currencies

GBP steadied when a ratings downgrade of the world's major banks knocked investor appetite for perceived riskier currencies

Demand for the safer dollar was also supported by signs of slowing growth in the United States and China.

SELL GBPUSD @ 1.5580 SL 1.5610 TGT 1.5555-1.5525.

PROJECTION - GBP dipped giving up earlier gains despite robust UK economic data, as some investors trimmed positions on growing expectations of more easing by the Bank of England.