Rupee strengthens against US dollar on Friday
Indian rupee strengthened against the US dollar on Friday, tracking firm domestic equities on the back of robust GDP data. Data showed India's economic growth accelerated to 8.4% in the third quarter of this fiscal (October-December 2023) mainly due to double-digit growth in manufacturing and a good showing by mining & quarrying and construction sectors. Moreover, massive inflow of foreign funds in to the domestic capital markets and weakness in dollar also supported rupee sentiments. Foreign institutional investors were net buyers in the capital markets on Thursday as they bought shares worth Rs 3,568.11 crore on a net basis, exchange data showed. Meanwhile, the US Federal Reserve's preferred inflation gauge -- the US personal consumption expenditures index showed January inflation in line with expectations, keeping a June interest rate cut on the table.
The partially convertible currency is currently trading at 82.86, stronger by 3 paise from its previous close of 82.89 on Thursday. The currency touched a high and low of 82.8725 and 82.8425 respectively.
