Rupee strengthens by 12 paise to 83.49 against US dollar | Business News

The Indian rupee made a strong comeback on Thursday, appreciating 12 paise to 83.49 against the US dollar in early trade. This rebound was supported by a positive trend in domestic equities and gains in Asian currencies. Forex traders noted that the local unit gained ground as the American currency retreated from its recent highs.

After opening at 83.51 against the greenback, the rupee touched 83.49 in initial trade, marking a significant increase from its previous close. This recovery comes after the rupee had plunged to its lowest level of 83.61 against the US dollar earlier in the week.

Anil Kumar Bhansali, Head of Treasury and Executive Director at Finrex Treasury Advisors LLP, commented on the situation, stating that the rupee is expected to trade in the range of 83.45 to 83.65. He mentioned that Foreign Portfolio Investors (FPIs) and oil companies are buying dollars, while the Reserve Bank of India (RBI) is selling the American currency. Bhansali also highlighted that the dollar index was trading lower at 105.88, as traders assessed the US interest rates outlook.

In the global market, Brent crude futures rose to USD 87.58 per barrel, while on the domestic front, the BSE Sensex and NSE Nifty showed positive movements in early trade. Despite Foreign Institutional Investors (FIIs) being net sellers on Tuesday, offloading shares worth Rs 4,468.09 crore, the overall market sentiment seemed to be improving with the rupee’s rebound.