Indian rupee appreciation: Rupee strengthens to 84.48 amid positive trade deal sentiment

Mumbai: The Indian rupee appreciated to its strongest level since November 29 to shut at 84.48/$1 on Wednesday, because of inflows into Indian equities, a pick-up in greenback gross sales by exporters and unwinding of lengthy greenback positions, merchants stated. The rupee was stronger by 0.9% on the day, the place it had beforehand closed at 85.26, LSEG knowledge showedThe rupee strengthened regardless of border tensions with Pakistan, and optimistic sentiment surrounding a possible commerce deal between India and the US aided the rupee. The dollar index was at 99.4.Exporters hedging their publicity because the foreign money strengthened previous key ranges of 84.70 catalysed rupee’s upward motion as cease losses had been hit for a lot of banks, merchants stated.

Wednesday’s sharp achieve of over 0.60% was primarily fueled by optimism surrounding a possible commerce deal between the US and India, which lifted market sentiment additional. Moreover, the rupee broke a vital technical degree at 85, prompting exporters to hedge their foreign exchange publicity and promote US {dollars}, thereby accelerating the native foreign money’s rise,” stated Sugandha Sachdeva, founding father of SS WealthStreet – a New Delhi-based analysis agency.