Mumbai: The rupee strengthened further on Friday with a gain of 11 paise to close at 82.90 vis-a-vis the US dollar as bullish foreign funds flowed into the equity markets.
This is the eighth consecutive day on which the Indian currency has recorded a gain. The foreign exchange and stock markets have been closely tracking the developments related to the US Fed to get a cue on the interest rates ahead.
“The rupee kept positive moves after the US CPI data which came in higher at 3.4 per cent against 3.1 per cent. This higher data did not override the interest rate reduction hype from March 24′ from Fed. As the overall trend of inflation is still weak in recent months, Fed can be expected to be moving towards no hike in upcoming policy and projection of cuts can be seen in a statement provided the data does not go higher in coming months for CPI in US,” said Jateen Trivedi, VP Research Analyst, LKP Securities.
“RBI still seems to be in much control of rupee as 83.30-83.40 has been held by rupee and intervention is visible at lower levels on rupee. The short term trend in rupee is now positive as we are now above 82.95 after almost 4 months after Sep ’23. Going ahead the rupee can be seen in range 82.70-83.15,” he added.
–IANS