The Indian rupee advanced by 8 paise to reach 83.29 against the US dollar in the early trading session on Friday. This surge was attributed to significant equity purchases by foreign institutional investors and a decline in crude oil prices. The positive momentum was fueled by encouraging signals from equity markets, coupled with robust domestic macroeconomic data.
Crude oil prices softened, dropping from USD 84 to USD 80 per barrel, following the OPEC+ announcement of no new production reduction targets for 2024, reported forex traders.
In the interbank foreign exchange market, the rupee initiated the day stronger at 83.29 against the dollar, reaching its peak at 83.25. It maintained a level of 83.29 against the greenback, marking an 8 paise gain from its previous close. In the preceding session, the rupee had concluded 5 paise lower at 83.37 against the dollar. Simultaneously, the dollar index, measuring the greenback’s strength against six currencies, showed a 0.09% decline at 103.41.
Brent crude futures, the global oil benchmark, registered a 0.47% dip, settling at USD 80.48 per barrel. On the domestic equity front, the BSE Sensex exhibited a 284.82-point or 0.43% rise at 67,273.26, while the broader NSE Nifty increased by 87.90 points or 0.44% to 20,221.05. Foreign institutional investors remained net buyers in the capital market on Thursday, acquiring shares worth Rs 8,147.85 crore, as per exchange data. The overall market sentiment appeared positive, driven by favourable economic indicators and external factors influencing currency dynamics.
Check here for the latest updates in Hindi!