Rupee strengthens against US dollar on Monday
Indian rupee strengthened against the US dollar on Monday tracking strong foreign fund inflows into the Indian capital market, which were largely driven by the FTSE March review and robust fundraising activities. State-run enterprises raised Rs 14,000 crore, and Indian states mobilized Rs 40,100 crore through debt sales. Meanwhile, NBFCs issued Rs 16,400 crore in bonds, offering a cushion for the rupee. Data showed that foreign institutional investors bought equities worth Rs 7,470.36 crore on a net basis on Friday, while the country's forex reserves increased by $305 million to $654.271 billion during the week ended March 14. Moreover, lower crude oil prices and muted American currency have also supported sentiments.
The partially convertible currency is currently trading at 85.91, stronger by 7 paise from its previous close of 85.98 on Friday. The currency touched a high and low of 86.0150 and 85.8650 respectively.
