Mumbai: The Indian rupee strengthened beyond the key 82 per dollar mark today on the back of scaled-down bets of a hawkish US Federal Reserve in the coming months but gains were capped by importers rushing in to hedge at over five-week highs.
The rupee was trading at 81.9250 per dollar by 10:46 AM IST after closing at 82.1750 in the previous session. It rose to 81.8825 intra-day, its highest since May 9. The dollar index was trading close to a five-week low hit in the previous session and saw its worst one-day session since March 13 after a hawkish European Central Bank (ECB) signaled rate hikes.
Meanwhile India’s April-May fiscal deficit at Rs 2.10 lakh crores, which is 11.8 percent of the fiscal year 24 target. The April and May capital expenditure stands at Rs. 1.68 lakh crores, which is 16.8 percent of the fiscal year 2024 target.