Rupee bounces back from all-time low against US dollar in early deals on Tuesday
The Indian rupee bounced back from its all-time low levels against the US dollar in early deals on Tuesday, as the American currency index fell amid possible US-Japan joint foreign exchange intervention and as markets brace for a crucial Federal Reserve policy decision later this week. Rupee sentiments improved further after RBI data showed India's foreign exchange reserves jumped by $14.167 billion to $701.36 billion during the week ended January 16. The overall reserves had increased by $392 million to $687.193 billion in the preceding week. Although, some gains were limited by severe pressure from heightened global geopolitical uncertainties, weak domestic equities, and unabated capital outflows. Foreign institutional investors offloaded equities worth Rs 4,113.38 crore on Friday, exchange data showed. Forex and equity markets were closed yesterday on account of Republic Day.
The partially convertible currency is currently trading at 91.85, stronger by 5 paise from its previous close of 91.90 on Friday. The currency touched a high and low of 91.9050 and 91.7450 respectively.
