2 hrs ago
Rupee Jumps 67 Paise to Two-Month High as FCNR-B Inflows
The Indian rupee became stronger against the US dollar on Thursday.
It rose by 67 paise, its biggest one-day gain since June.
The rupee reached its highest level in about two months.
Banks brought in a large amount of foreign currency through special deposits from people living outside India.
The Reserve Bank of India said these deposits totaled $127.23 billion.
Other foreign borrowings lifted total inflows to $136.38 billion.
This gave investors more confidence in India’s currency and foreign-exchange position.
However, expensive oil, high global bond yields, and geopolitical tensions could still weaken the rupee.
The Indian rupee gained 67 paise against the US dollar on Thursday, reaching a two-month high.
The rupee opened at Rs 94.30, compared with Wednesday’s close of Rs 94.97.
Banks mobilised $127.23 billion through FCNR-B deposits, according to the Reserve Bank of India.
Including external commercial borrowings and overseas foreign-currency borrowings, total inflows reached $136.38 billion.
Analysts identified Rs 94.10-Rs 95.50 as the immediate USD-INR range, while crude prices and global bond yields remain risks.
- Who
- The Indian rupee, Indian banks, the Reserve Bank of India, and currency-market experts.
- What
- The rupee gained 67 paise against the US dollar after strong FCNR-B deposit inflows boosted sentiment.
- Where
- Mumbai and India’s foreign-exchange market.
- When
- Thursday, September 3; the inflows accelerated during August, and the deposit window closed on August 31.
- Why
- Large foreign-currency inflows strengthened sentiment and improved India’s foreign-exchange position.
Key facts
- Rupee gain
- 67 paise against the US dollar
- Opening rate
- Rs 94.30 per US dollar
- Previous close
- Rs 94.97 per US dollar
- FCNR-B inflows
- $127.23 billion mobilised by banks
- Total reported inflows
- $136.38 billion including external commercial borrowings and overseas foreign-currency borrowings
- Immediate USD-INR range
- Rs 94.10-Rs 95.50
- Key risks
- Brent crude near $95 per barrel, elevated global bond yields, and geopolitical tensions
Sources
Related news
India’s Forex Reserves Hit Record High on Foreign Inflows
Rupee Jumps 67 Paise as Dollar Inflows Boost Sentiment
India Draws Record $127 Billion Through Special FCNR Window
India’s Foreign Currency Facility Draws $72.85 Billion
Rupee tumbles as RBI advances FCNR(B) swap closure
RBI Forex Swap Draws $136.37 Billion, Led by FCNR(B)
BRICS Leaders Eye Local-Currency Trade, Not Common Currency
Rupee Slips Against Dollar Amid Oil and Tension
Rupee Climbs to Two-Month High on RBI Intervention