Due to inflows into local stocks, the Indian rupee saw a slight increase on Friday; however, the gains were constrained by importers’ dollar demand.
As of 8.55 a.m. UAE time, the rupee was trading at 83.84 (Dh22.84) against the US dollar, down from its previous session’s closing value of 83.87 (Dh22.85).
A foreign exchange trader at a state-run bank stated that the rupee could not significantly appreciate against “strong dollar demand” from local importers, despite expectations of inflows linked to India’s increased weight in MSCI’s emerging market equity index.
According to Nuvama Alternative and Quantitative Research, up to $3 billion in inflows are anticipated once Indian equities are given a higher weightage, which takes effect on Friday.
The benchmark Indian equity indices, the Nifty 50 (NSEI) and the BSE Sensex (BSESN), both open new tabs, reached all-time highs in early trading and were last up roughly 0.2% each.
According to Amit Pabari, managing director of FX advisory firm CR Forex, the rupee is “likely to trade within a range of 83.75 to 83.90” on the day, with a bias towards slight appreciation.
Also Read:
A Visionary Coach And Empowerment Expert: Neetu Choudhary
Navigating The Digital Landscape: Muhammad Aman Raffi’s Inspiring Journey
About Author
