Forex dealers said, the RBI sold Dollars to steady the Indian unit, which opened for trading nine paise weaker vis-a-vis the previous close.
| Photo Credit:
LeoWolfert
The rupee recovered to close stronger on Friday despite flare up in the war between India and Pakistan and fall in domestic equity markets, with RBI reportedly intervening in the forex market.
The rupee ended the day on a relatively strong note at 85.37 per US dollar as compared with the previous close of 85.71.
Forex dealers said the RBI sold dollars to steady the Indian unit, which opened for trading nine paise weaker vis-a-vis the previous close.
The rupee, which cumulatively weakened 127 paise over Wednesday and Thursday, recovered 34 paise on Friday.
Rahul Kalantri, Vice-President, Mehta Equities, assessed that even as the rupee recovered a bit after two days of fall, the currency could witness volatility amid escalating tensions with Pakistan.
“While a strong rebound in the US dollar index supported by US-UK trade agreement and jump in crude oil prices are likely to maintain pressure on the rupee, continuing FPI flows in the domestic equity markets and better than expected corporate earnings are supporting the local currency. We expect the rupee to trade in the range of 84.74-86.05 next week.”
Published on May 9, 2025
