Rupee strengthens against US dollar on Monday
The Indian rupee strengthened against the US dollar on Monday tracking a weak American currency overseas, and as markets in a wait-and-watch mode for the US and India inflation data and the US-Russia talks on August 15. Moreover, weak crude oil prices and growing bets of a Federal Reserve interest rate cut next month have also supported rupee sentiments. The rupee improved further after data that Foreign institutional investors (FIIs) turned net buyers after several days and purchased equities worth Rs 1,932.81 crore on Friday. Meanwhile, India's forex reserves dropped by $9.322 billion to $688.871 billion for the week ended August 1 in one of the highest declines in the recent past, the RBI data showed on Friday. The overall reserves rose by $2.703 billion to $698.192 billion in the previous reporting week.
The partially convertible currency is currently trading at 87.57, stronger by 1 paise from its previous close of 87.58 on Friday. The currency touched a high and low of 87.5950 and 87.4825 respectively.
