Rupee Strengthens Against US Dollar

The Indian rupee opened stronger against the US dollar on Friday amid the decline in dollar index.

The local currency appreciated three paise to open at Rs 83.48 against the greenback, according to Bloomberg data. The rupee closed at Rs 83.51 on Thursday.

Indian Rupee was again sold off yesterday as FPIs outflows continued to trigger demand for dollar while probable RBI selling (dollar) at Rs 83.50 did not allow a higher upmove on the pair, Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP. “Today also the same is expected from the pair with RBI continuing it’s control at Rs 83.50.”

The Indian rupee continues to remain tight in a range of Rs 83.35-83.55 currently, Amit Pabari, managing director, CR Forex Advisors.

A breakout in the range of USDINR on the downside would potentially result in appreciation of rupee up to Rs 83.00-83.20 levels, which is likely to happen in the short term, Pabari said.