Rupee Gains 11 Paise to 95.17 Against Dollar After Fed Holds Rates
The Indian rupee appreciated 11 paise to close at 95.17 against the U.S. dollar, following the Federal Reserve's decision to maintain interest rates.
The Indian rupee gained 11 paise, closing at 95.17 against the U.S. dollar after the Federal Reserve opted to hold interest rates during its latest meeting.
On Thursday, the rupee fluctuated in the foreign exchange market, opening at 95.2350 before ultimately settling lower after the Fed’s decision. Traders noted that the Reserve Bank of India (RBI) likely intervened to help support the rupee, with state-run banks offering dollars on its behalf.
According to traders, the RBI’s intervention in recent days has been described as “relatively mild,” suggesting that it aims to manage the currency’s direction without enforcing drastic changes. Analysts are closely observing the forex market as elevated crude oil prices and domestic factors continue to impact the rupee.
“The Fed remains the immediate common trigger across these markets,” Anindya Banerjee from Kotak NEO stated. He pointed out the influence of elevated oil prices and U.S. Treasury yields on currency trends, particularly noting that these factors affect both dollar demand linked to imports and international capital flows.
Meanwhile, the dollar index, which measures the greenback’s strength against other currencies, was recorded at 102.40, a slight increase of 0.08%. Brent crude oil prices also rose to $115.08 per barrel, escalating pressures on the rupee and other emerging market currencies.
The trends in the domestic equity market showed a decline as Sensex fell by 352.64 points, settling at 73,246.03, while the Nifty decreased by 50.90 points to close at 22,698.85. Foreign Institutional Investors were noted to have purchased equities worth ₹4,240.39 crore, reflecting some interest amid the volatility in the currency markets.
Sources
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.