Indian Rupee Strengthens as Oil Prices Decline and Dollar Weakens
INR appreciates above Rs 93 per dollar mark on improving optimism as oil prices recede
Business Standard
Image: Business Standard
The Indian rupee appreciated to ₹92.93 per dollar, boosted by a decline in international oil prices and a weaker dollar. Despite these gains, foreign capital outflows and high demand for dollars from importers limited further appreciation. The rupee had previously settled at ₹93.14 against the dollar.
- 01The Indian rupee opened at ₹92.93 per dollar and reached a high of ₹92.78.
- 02Oil prices have fallen to around $90 per barrel, contributing to rupee strength.
- 03The dollar has pulled back to a seven-week low, aiding the rupee's gains.
- 04Foreign capital outflows and demand from importers are limiting rupee appreciation.
- 05Indian stock markets opened flat amid mixed global cues.
Advertisement
In-Article Ad
On Friday, the Indian rupee appreciated, opening at ₹92.93 per dollar and reaching a high of ₹92.78 during trading. This gain was driven by a pullback in the dollar and declining international oil prices, which are hovering around $90 per barrel due to optimism regarding a potential resolution to the US-Iran conflict. The rupee had strengthened by 20 paise to settle at ₹93.14 against the dollar the previous day, supported by falling crude oil prices and a weaker dollar, which has dropped to a seven-week low. However, the rupee's gains are constrained by ongoing foreign capital outflows and increased dollar demand from importers. Meanwhile, Indian stock markets opened on a flat note, reflecting mixed global cues and profit booking activities.
Advertisement
In-Article Ad
The strengthening rupee may lead to lower import costs, which could benefit consumers by potentially reducing prices on imported goods.
Advertisement
In-Article Ad
Reader Poll
How do you feel about the current state of the Indian rupee?
Connecting to poll...
Read the original article
Visit the source for the complete story.