Rupee Rises 15 Paise as Oil Rally Fuels Indian Stocks
Rupee Rises 15 Paise as Oil Rally Fuels Indian Stocks
Rupee gains to 94.70 per dollar in early trade as Brent crude climbs and equities rally, with RBI's NOP cap shaping bank flow and currency momentum.
The rupee rose 15 paise to 94.70 against the dollar in early trade, helped by positive cues from domestic equity markets and a retreat in the US dollar. It opened stronger at 93.62 but pared gains to trade around 94.70, underscoring ongoing pressure from higher oil prices and sustained withdrawal of foreign funds. Banks are adjusting to the RBI’s new Net Open Position cap of $100 million, with compliance due by April 10. The Fed-style strength in the greenback softened slightly, with the dollar index at 99.63.
Brent crude, the global oil benchmark, was up 1.50% at $105.53 per barrel in futures trade, highlighting oil's pivotal role in keeping the rupee in check amid other macro dynamics.
On the domestic equity front, the Sensex jumped 1,722.48 points to 73,670.03 in early trade, while the Nifty advanced 540.55 points to 22,871.95. The market mood was buoyed by optimism around a potential resolution to the West Asia tension, following remarks from US leadership about timelines in the Iran situation and an upcoming White House address regarding the matter.
