The dollar index, which measures the strength of the greenback against six currencies, fell 0.41% to 105.63, posting weak US data and dovish Fed minutes
The Indian rupee appreciated 26 paise to 81.67 against the US dollar (22.25 against the UAE dirham) in early trading on Thursday as the US currency retreated from its high levels.
In the Indian interbank foreign exchange market, the rupee opened at 81.72 against the dollar, then gained ground to touch 81.67, registering a rise of 26 paise from its previous close.
The Rupee strengthened in offshore trading on broad dollar weakness. It is likely to trade in a range of 81.55-81.85 with sideways price action, the IFA Global Research Academy said in a research note.
The dollar index, which gauges the strength of the greenback against a basket of six currencies, fell 0.41% to 105.63, after weak US data and dovish minutes from the Fed.
“The minutes of the last Fed meeting indicated that most Fed members were in favor of slowing the pace of rate hikes, but “various” Fed members saw rates peaking at higher levels” , said the IFA Global Research Academy.
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(With PTI entries)