Rupee outperformance to continue given stable macro: Nomura

The relatively stable performance of the India rupee is likely to continue, given the improvement in macros, says Neeraj Gambhir, MD and Head - Fixed Income, Nomura.In an interview with CNBC-TV18, Gambhir however said that 67 to the USD was a crucial level for the rupee to defend.Discussing the prospects of the yuan, he added that the Chinese currency was could likely depreciate further to about 6.8 or 6.9 versus the greenback.Indian bond yields may fall 10-15 bps going forward, given the issuance of a new 10-year benchmark and as supply of fixed income paper reduces going forward.The fiscal consolidation roadmap outlined by the government in the Budget would be a key factor, he said.For the full discussion, please watch video.