New Delhi— The Indian rupee surged 40 paise against the U.S. dollar on Friday, breaking the 84-mark for the first time in seven months, buoyed by strong foreign fund inflows and renewed optimism over India-U.S. trade relations.
The currency opened at 84.09 and strengthened to 83.90 in early trade, its highest level since October 1, 2024, when it last touched 83.82. It had closed at 84.49 in the previous session.
Analysts attributed the rupee’s rise to increased foreign investment in Indian equity and debt markets, along with positive signals from ongoing trade discussions with the U.S.
“Despite a firm dollar index, the rupee gained on growing expectations that India could emerge as a key alternative to China in U.S. trade flows, strengthening investor confidence,” experts noted.
Foreign institutional investors (FIIs) have poured ₹37,375 crore into Indian markets over the past 11 trading sessions, reflecting renewed confidence following recent global volatility.
The weakening of the U.S. dollar index, which has slipped below 100 and is hovering near 99, also contributed to the rupee’s upward momentum. The index tracks the dollar’s performance against six major global currencies.
Adding to the optimism, U.S. trade negotiator Jamieson Greer recently told American media that Washington and New Delhi are nearing a trade deal. “Talks are ongoing. My team was in India last week, and I’m in regular contact with Commerce Minister Piyush Goyal,” Greer said, noting that both sides have outlined a framework for further negotiations. (Source: IANS)
