The Pound to Indian Rupee (GBP/INR) exchange rate has appreciated by around 0.15% on Friday despite positive Indian Foreign Reserves data. Cooling economic growth hasn’t stymied Sterling gains on Friday, which is possibly as a result of traders paring back losses from poor British retail sales.
The Pound Sterling to Indian Rupee exchange rate is currently trending in the region of 98.1290.
Over the past week the Pound has struggled to stave off a long-running bearish slide. This was initiated by poor domestic data and was soon fuelled by negative sentiment towards the Bank of England.
There is widening concern amongst rate hawks that central banks will opt to delay the normalisation of monetary policy for as long as possible. The majority of futures traders believed the British central bank would be the first off the mark, but another set of dovish minutes from their most recent policy meeting fuelled anxieties.
A very sparse Indian economic calendar this week has seen the Rupee fluctuate against its major peers. With risk sentiment changing on a daily basis, commodities prices shifting constantly and with geopolitical issues coming in and out of trader focus; it is unsurprising that the Indian Rupee has been highly changeable.
The Pound Sterling to Indian Rupee exchange rate has fallen to a low today of 97.9080.
On Friday, the Pound has managed to curb the downtrend and rack up some small advances against its most traded competitors. British growth data has played some part in the appreciation, although results indicated a cooling from previous figures.
Third-quarter Gross Domestic Product showed an annual decline from 3.2% to 3.0%. On a quarterly basis, GDP dropped from 0.9% to 0.7%. Jonty Bloom, a business correspondent with BBC News, stated; ‘Growth of 0.7% is still good; it works out at 3% a year and that is better than most of our competitors including France and Germany.’
Perhaps part of the reason for the Sterling advance is as a result of traders paring back the heavy losses from the past few days. Negative sentiment towards the Pound could have caused a greater declination than was necessarily warranted.
Foreign Exchange Reserves in India increased from $312.74 billion to $313.68 billion in the week ended October 17th 2014. This increase has come after five consecutive weeks of declination.
Pound to Indian Rupee Exchange Rate Forecast to Strengthen
With anxieties over the Ebola virus creeping back in to trader focus it is highly possible that risk aversion strategies will be adopted next week. Should this be the case, the Pound will strengthen against the emerging-market Indian Rupee.
The Pound Sterling to Indian Rupee exchange rate has reached a high today of 98.3740.
Indian Rupee (INR) Exchange Rates
[table width=”100%” colwidth=”50|50|50|50|50″ colalign=”left|left|left|left|left”]
Currency, ,Currency,Rate ,
Indian Rupee,
,US Dollar,0.0163,
Indian Rupee,,Euro,0.0129,
Indian Rupee,,Pound,0.0101,
Indian Rupee,,Australian Dollar,0.0185,
US Dollar,,Indian Rupee,61.1654,
Euro,,Indian Rupee,77.4701,
Pound Sterling,,Indian Rupee,98.3229,
Australian Dollar,,Indian Rupee,53.8687,
[/table]
