Rupee strengthens against US dollar on Friday
The Indian rupee strengthened against the US dollar on Friday amidst the American currency’s drop on concerns about the US fiscal outlook as the Republican-controlled US House of Representatives passed a bill that would cut taxes and is expected to burden the US with trillions of dollars of debt. Meanwhile, strengthening of the majority of the Asian currencies against the US dollar also supported the rupee. However, sell-off in foreign institutional investor holdings and speculation of an RBI rate cut in the upcoming MPC meeting have limited further gains in rupee sentiments. Foreign institutional investors offloaded equities worth Rs 5,045.36 crore on a net basis on Thursday, exchange data showed.
The partially convertible currency is currently trading at 85.71, stronger by 24 paise from its previous close of 85.95 on Thursday. The currency touched a high and low of 86.10 and 85.70 respectively.
