Indian Rupee Strengthens Slightly Against US Dollar
By ThePip Desk
The Indian Rupee edged higher against the US Dollar, trading at 95.73, supported by RBI intervention and FII inflows amid rising crude prices.
The Indian rupee registered a marginal gain against the US dollar in early trade on Wednesday. The partially convertible currency traded at 95.73, reflecting a 1 paise strengthening from its previous close of 95.74 on Tuesday.
Key Trading Figures
- Current Trading: 95.73
- Previous Close (Tuesday): 95.74
- Change: Stronger by 1 paise
- Intraday High: 95.76
- Intraday Low: 95.72
Support for the local currency came from the Reserve Bank of India’s (RBI) intervention and notable foreign fund inflows. Foreign institutional investors (FIIs) made net equity purchases totaling Rs 1,651.53 crore on Tuesday, according to exchange data.
A broader decline in the American currency also contributed positively to the rupee’s position. However, these gains faced limitations due to rising Brent crude prices, which exerted downward pressure.
The ongoing standoff between the US and Iran over the reopening of the Strait of Hormuz showed no immediate signs of resolution. This geopolitical tension contributed to elevated crude prices, thus restricting further appreciation of the Indian rupee.