Rupee strengthens against US dollar in early trade on Friday
The Indian rupee strengthened against the US dollar in early trade on Friday, as American currencies’ weakness overseas following the impact of US President Donald Trump's tariffs offered relief to emerging market currencies, including the rupee. Moreover, a decline in crude oil prices and expectation of sharp rate cuts by the Reserve Bank of India have also supported rupee sentiments. However, weak domestic equities following mounting fears of a tariff-driven global recession and foreign fund outflows have limited further gains in rupee. Foreign institutional investors offloaded equities worth Rs 2,806.00 crore on a net basis on Thursday, exchange data showed. Investors are now cautiously awaiting the US non-farm payrolls report due later today for further insights into the Federal Reserve’s future monetary policy direction.
The partially convertible currency is currently trading at 85.12, stronger by 18 paise from its previous close of 85.30 on Thursday. The currency touched a high and low of 85.1375 and 84.96 respectively.
