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The Indian Rupee softens in Thursday’s Asian session. USD bids from importers and subdued foreign inflows continue to undermine the INR. Investors brace for India’s December HSBC Manufacturing PMI and the US weekly Initial Jobless Claims. The Indian Rupee (INR) remains weak on Thursday. The reasons attributed to the weakening in the local currency are an increase in demand for US Dollar (USD) from importers, a higher 10-year US Treasury yield and concerns about India’s slowing economic growth. On the other hand, the downside for the INR might be limited as the Reserve Bank of India (RBI) will likely continue to intervene in the currency market to curb volatility. Later on Thursday, India’s HSBC Manufacturing Purchasing Managers Index (PMI) for December is due. On the US docket, the weekly Initial Jobless Claims and S&P Global Manufacturing PMI for December will be published. Indian Rupee remains fragile amid importer USD bids and domestic factors “The rupee is still susceptible to downward pressure, given strong dollar bids and robust US yields,” said Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors LLP. According to Reuters, the bearish bias of the INR is driven by a combination of factors, including the Greenback maintaining its strength near 108.48 and persistent concerns over slowing domestic growth and a widening trade deficit. India’s fiscal deficit for the April-November period of FY25 stood at 8.47 trillion rupees ($98.90 billion), or 52.5% of the estimate for the financial year, according to official data released on Tuesday. The fiscal deficit widened from 50.7% reported in the comparable year-earlier period. The real GDP growth is estimated at 6.6% for 2024-25, and 6.9% for the first quarter of 2025-26, as per the Reserve Bank of India (RBI). The US Housing Price Index rose 0.4% MoM in October versus 0.7% prior,…