USD/INR faces upside pressure in the next months – UOB

Strategists at UOB Group’s Quarterly Global Outlook noted the Indian Rupee risks further weakness in the next months.

Key Quotes

“Going forth, until the policy reforms start to show material results and the growth outlook starts to improve, it is likely investors would continue to shun the INR. As such, we maintain our trajectory of a higher USD/INR ahead.”

“Our updated forecasts are 76.00 in 3Q20, 76.50 in 4Q20, 77.00 in 1Q21 and 77.50 in 2Q21.”