EFTA Document EFTA01455664

EURINR lower as a combined play on continued inflows into India and ECB activism: Trade: A 6m EURINR 78 put (at-the-money spot) financed by selling the 83 call has zero net premium (spot ref: 77.9S, forward: 80.50) with the Modi government showing decisiveness in pursuing its reform agenda, capital inflows into India look likely to continue for the foreseeable future Indian equities are at all-time highs and the entry point is not very attractive The rupee also embeds carry of 7%/year,