Rupee rises 9 paise to 87.28 against US dollar in early trade

Table of Content


The rupee appreciated 9 paise to 87.28 against the US dollar in early trade on Monday as the American currency index retreated from elevated level and domestic equity markets indicated some recovery after firm macroeconomic data.

According to forex traders, withdrawal of foreign capital is expected to halt as the latest government data released on Friday showed the country’s economy grew by 6.2 per cent in the October-December quarter, recovering sequentially from seven-quarter lows.

However, the volatility triggered by the US tariff continued to linger, leading to an increase in crude oil prices and capping a sharp gain in the domestic currency, they said.

At the interbank foreign exchange, the rupee opened at 87.36 and gained further ground to 87.28 against the American currency, registering a gain of 9 paise from its previous close.

On Friday, the rupee fell 19 paise to settle at 87.37 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.34 per cent lower at 107.19.

Brent crude, the global oil benchmark, rose 0.59 per cent to $73.24 per barrel in futures trade.

In the domestic equity market, the 30-share BSE Sensex was trading 167.25 points or 0.23 per cent higher at 73,365.35 in morning trade, while Nifty was up 69.65 points or 0.31 per cent to 22,194.35.

The Reserve Bank on Friday conducted US dollar-rupee swap worth $10 billion for injecting long-term liquidity in the system, with the auction eliciting robust demand. The settlement of auction will take place on March 4 and March 6.

Under the swap exercise, a bank shall sell US dollars to the Reserve Bank and simultaneously agree to buy the same amount of US dollars at the end of the swap period.

Foreign Institutional Investors (FIIs) offloaded equities worth ₹11,639.02 crore in the capital markets on net basis on Friday, according to exchange data.

The latest Reserve Bank data released on Friday showed the country’s forex reserve jumped by $4.758 billion to $640.479 billion in the week ended February 21.

In the previous reporting week, the overall reserves had dropped by $2.54 billion to $635.721 billion.

Also, the official data released on Saturday showed gross GST collections rose by 9.1 per cent to about ₹1.84 lakh crore in February, boosted by domestic consumption and indicating potential economic revival.

However, the government’s fiscal deficit touched 74.5 per cent of the annual target at the end of January 2025, according to the data released by Controller General of Accounts (CGA). The deficit was 63.6 per cent of Revised Estimates (RE) of 2023-24 in the year-ago period.





Source link

AIMPWA

mmkrishnandasu@gmail.com http://msmenews.sbs

Leave a Reply

Your email address will not be published. Required fields are marked *

Recent News

Trending News

Editor's Picks

China mulls 50% pay cuts for underperforming fund managers

China is considering slashing pay of fund managers who underperform their benchmarks as part of a broad overhaul of the nation’s 33 trillion yuan ($4.6 trillion) mutual fund industry aimed at boosting long-term investments, according to people familiar with the matter. The China Securities Regulatory Commission is proposing a 50% pay reduction for fund managers...

Budget 2025 lands softly—markets hesitate as capex slows

More concerning is this has been tagged as a “structural slowdown,” caused by slowing government capital expenditure, weak manufacturing, sluggish exports, and lacklustre private investment. Read this | Budget to offer blueprint of reforms under Modi 3.0 Naturally, expectations from the budget were sky-high, and the markets reflected this optimism, with the Nifty 50 breaching...

China is reportedly keeping DeepSeek under close watch

China appears to think homegrown AI startup DeepSeek could become a notable tech success story for the country.  After DeepSeek’s sudden rise to fame in January with the release of its open “reasoning” model, R1, the company is now operating under new, tighter government-influenced restrictions, according to The Information. Some of the company’s employees have...

ALL INDIA MSMES PROMOTION AND WELFARE ASSOCIATION

Quick Links

Popular Categories

Must Read

AIMPWA © 2025- All Right Reserved. Designed and Developed by  growGX.com