Pound Sterling (GBP) Exchange Rate Forecast to Strengthen against the Indian Rupee (INR) after UK Personal Insolvencies near 10-Year Low
The British Pound to Indian Rupee (GBP/INR) exchange rate ticked higher by around 0.4% on Thursday afternoon.
Thursday’s European session has seen the Pound strengthen against most of its currency peers despite a complete absence of domestic data to provoke changes. The appreciation can be attributed to traders digesting news that personal insolvency in the UK has dropped to the lowest level in nearly a decade. ‘It has taken a long time, but with wages outstripping inflation again, people are finding it easier to repay their debts without resorting to insolvency procedures,’ said Phillip Sykes, president of insolvency trade body R3.
Additional Sterling gains can be attributed to an unexpected Royal Bank of Scotland quarterly profit. Given that the British government intends to sell its shares in RBS within five years, the rising share price as a result of the quarterly gains will return more money. ‘The market should be understandably pleased at a small profit when analysts had expected a small loss,’ said analyst Sandy Chen. ‘RBS’ restructuring is going well’ and the results open the door for ‘potential for significant share buybacks and dividends,’ he said.
The Pound Sterling to Indian Rupee (GBP/INR) exchange rate is currently trending in the region of 100.0800.
Indian Rupee (INR) Exchange Rate Forecast to Soften against the Pound as Crude Prices Edge Higher
On Wednesday, US economic data showed that Crude Oil Inventories declined by -4203K despite predictions for a rise of 850k. This caused crude oil prices to rise, which in turn caused the Indian Rupee to decline. ‘Early indications suggest output will be lower in [the second half of the year] based on earnings published so far, but the precise timing of the drop remains uncertain,’ said analysts at consultancy Energy Aspects.
The Rupee depreciation has been somewhat slowed, however, thanks to oil price remaining historically weak. ‘We still remain cautious about the weekly production figures as producers have been resilient in the face of lower prices and those with the poorest financials continue to raise output in order to ensure they meet lending requirements in October,’ Energy Aspects said.
The Pound Sterling to Indian Rupee (GBP/INR) exchange rate dropped to a low of 99.5580 during Thursday’s European session.
Pound Sterling to Indian Rupee (GBP/INR) Exchange Rate Forecast to Hold Gains ahead of UK Consumer Confidence
With a complete absence of domestic data to provoke changes, the Pound Sterling to Indian Rupee (GBP/INR) exchange rate is likely to hold gains for the remainder of Thursday’s European session. Friday may see GBP/INR volatility with UK Consumer Confidence data due for publication. India’s Infrastructure Output and Foreign Reserve data may also impact the GBP/INR exchange rate.
The Pound Sterling to Indian Rupee (GBP/INR) exchange rate reached a high of 100.1200 during Thursday’s European session.
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