Politics · India Bureau
Rupee strengthens 26 paise to 94.96 per dollar in early trade
The Indian rupee appreciated against the US dollar on Tuesday morning, driven by strong domestic economic fundamentals and sustained portfolio inflows. The currency gained 26 paise to touch 94.96 per dollar at the interbank forex market.
LSN India ·
The rupee opened at 95.06 against the US dollar before climbing to 94.96, marking a gain of 26 paise from Monday's closing level of 95.22. Analysts attributed the appreciation to India's robust domestic growth trajectory, disciplined fiscal management, and continued portfolio-related capital flows into Indian markets.
Forex traders indicated that the USD/INR pair has established a strong near-term support base in the 95.10-95.20 range. The currency's strength has been bolstered by MSCI-related inflows, which have provided temporary tailwinds to the rupee in recent sessions.
On the broader currency front, the dollar index, which measures the greenback's performance against a basket of six major currencies, was trading at 99.46, up 0.03 per cent. In global commodity markets, Brent crude futures were trading higher at USD 91.06 per barrel, up 0.63 per cent.
The rupee's upward movement reflects investor confidence in India's economic resilience despite global headwinds. Analysts will be watching for further developments in external factors that could influence currency movements in the coming sessions.