Rupee strengthens against US dollar in early trade on Thursday
The Indian rupee strengthened against the US dollar in early trade on Thursday, supported by the ongoing impact of the RBI’s aggressive interventions and recent liquidity-tightening measures. Moreover, a massive pullback in US Treasury yields, a softening American currency, and cooling crude oil prices also helped rupee to trade stronger against dollar. However, foreign fund outflows, along with concerns over hotter-than-expected US inflation and the possibility of another Federal Reserve rate hike, limited further gains for the domestic unit. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 1,857.44 crore on a net basis on Wednesday, exchange data showed.
The partially convertible currency is currently trading at 95.09, stronger by 8 paise from its previous close of 95.17 on Wednesday. The currency touched a high and low of 95.09 and 94.86 respectively.
