INR remained Rangebound since last 20 Days

vImproving Trade deficit  since last few Months will help to keep Current a/c deficit under control

 

v September Trade deficit  was at USD 6.7 Billion ( 30 Months lowest ) due to drop in Gold Import & higher Export

 

v As INR stabilized , RBI reduced interest rate on MSF window to improve Banking Liquidity ( 10.25%à9.50%à9%)  

 

v USA Govt shutdown resolved but its impact to growth will exist .

 

vPolitical differences on raising USA Debt ceiling although resolved for the time being will again come after three Months 

 

vIn the unlikely situation of no hike Debt ceiling in February , USA may default in its liability (negative to all EM currencies)