US dollar may edge up against Indian rupee, RBI decision awaited for cues

Reuters Posted online: Tuesday, Jan 28, 2014 at 0000 hrs
US dollar against Indian rupee likely to open around 63.15 versus Monday's close of 63.10/11.

The Reserve Bank of India's rate decision due at 0530GMT with most economists expecting the central bank to hold rates steady.

RBI Governor Raghuram Rajan's outlook on the future rate trajectory and the monetary policy committee report will be keenly watched. Any hawkish outlook may lead to a stock selloff, pressuring INR.

NSE Nifty futures in Singapore down 0.52 percent, while the broader MSCI Asia ex-Japan index lower 0.07 percent.

The dollar regained a firmer footing against the yen on Tuesday, as expectations the US Federal Reserve will scale back its stimulus further pulled the US currency off a seven-week low against its Japanese counterpart.