Rupee recovers from record low, gains 8 paise to 84.38 against US dollar
“The rupee rallied on Monday, rising eight paise to 84.38 against the US dollar in early trade. This recovery comes despite strong US currency and continued foreign fund outflows. Lower crude oil prices in the global market have provided some relief to the Indian currency, traders noted. be forex.
The best exchange of Rupee
The domestic unit opened at 84.42 on the foreign exchange market before firming at 84.38. This marked a recovery from late Thursday, when the rupee had sunk to a record low of 84.46 against the greenback. Forex markets remain closed on Fridays on Guru Nanak Jayanti.
The dollar index, which measures the performance of the US currency against six major currencies, showed a slight increase of 0.06 percent, trading at 106.68. Meanwhile, Brent crude futures rose 0.51 percent, to USD 71.40 per barrel.
Analysts pointed out that higher inflation and rising US Treasury yields added pressure on the rupee. India’s core retail inflation rose to a four-month high of 2.36 percent in October, driven by higher food prices and manufactured goods. Retail inflation also outpaced the Reserve Bank of India, hitting a 14-month high of 6.21 percent due to higher food prices.
Earlier, the stock markets showed a decline. The Sensex was down 125.08 points, or 0.16 percent, at 77,455.23, while the Nifty was down 20.15 points, or 0.09 percent, at 23,512.55.
Foreign Institutional Investors (FIIs) continued to sell, offloading shares worth Rs 1,849.87 crore on Thursday, according to exchange data.
Integrated trading data and forex areas
In October, India’s exports jumped 17.25 percent year-on-year to USD 39.2 billion, the strongest growth in two years. However, the trade deficit widened to USD 27.14 billion respectively. India’s forex reserves fell by USD 6.477 billion, to USD 675.653 billion in the week ending November 8, according to RBI data.
The outlook for the rupee remains cautious, with inflationary pressures and global market volatility likely to influence its movements in the coming weeks.
