Rupee Strengthens Against Dollar Following Powell's Insightful Address
Rupee Set for Strong Performance Against Dollar
The Indian rupee opened stronger against the dollar on Monday, appreciating by 8 paise to reach 83.82. This movement comes after pressure on the dollar following Federal Reserve Chair Jerome Powell’s address, which bolstered expectations for an interest rate cut at the September meeting. The rupee closed at 83.90 on Friday according to Bloomberg data.
Market Insights and Predictions
Market analysts expect the rupee to fluctuate within the range of 83.75-83.95. Anil Kumar Bhansali, head of treasury and executive director at Finrex Treasury Advisors LLP, noted the Reserve Bank of India (RBI) may buy dollars at lower levels and sell near 83.95 as part of its strategy.
Dollar Index Performance
The dollar index, which assesses the dollar's performance against ten major global currencies, declined by 0.18% to reach 100.53, marking its lowest point since July 2023. This drop came as the dollar suffered losses against the yen.
Last week's much-anticipated speech by Powell ignited hopes for a forthcoming interest rate cut during the Fed’s Sept. 17-18 meeting.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.