Rupee strengthens against US dollar on Tuesday
The Indian rupee strengthened against the US dollar on Tuesday as crude oil prices fell after the US President Donald Trump announced a complete and total ceasefire between Iran and Israel, that will end all military hostilities between the two countries. Besides, strong domestic equities and weak American currency have boosted the rupee sentiment. Rupee improved further after Federal Reserve policy maker Michelle Bowman said the US central bank should consider interest rate cuts soon. The markets now await Fed Chief Powell's testimony on Tuesday and Wednesday in which he may indicate about cutting of interest rates to the Senate and House. However, some gains were limited by foreign fund outflows from capital markets. Foreign institutional investors offloaded equities worth Rs 1,874.38 crore on a net basis on Monday, exchange data showed.
The partially convertible currency is currently trading at 86.22, stronger by 56 paise from its previous close of 86.78 on Monday. The currency touched a high and low of 86.2725 and 86.07 respectively.
