Rupee weakens against US dollar on Monday
The Indian rupee weakened against the US dollar on Monday due to rising crude oil prices driven by growing optimism surrounding the finalization of a US-China trade deal and expectations of increased global oil demand. US Treasury Secretary Scott Bessent said on Sunday top Chinese and US economic officials hashed out a very substantial framework for a trade deal in Kuala Lumpur, which would allow US President Donald Trump and Chinese President Xi Jinping to discuss trade cooperation later this week. However, some falls were limited by firm domestic equities and foreign fund inflows as softer-than-expected September US inflation boosted expectations for additional Federal Reserve rate cuts in 2025. Foreign Institutional Investors bought equities worth Rs 621.51 crore on Friday, exchange data showed. Meanwhile, the RBI said India's forex reserves increased by $4.496 billion to $702.28 billion during the week ended October 17, as the value of gold reserves rose further.
The partially convertible currency is currently trading at 88.03, weaker by 20 paise from its previous close of 87.83 on Friday. The currency touched a high and low of 88.0525 and 87.86 respectively.
