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Commodity News

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(12 Feb 2025, 08:56)

Indian Rupee: Could see extended recovery as dollar edges lower


The Indian rupee could likely see an extended recovery on Wednesday, after the domestic unit rallied 63 paise, recording its steepest single-day recovery in nearly two years, to settle at 86.82 against the US dollar in the previous session. The gains came despite extended losses in the local bourses. The benchmark S&P/BSE Sensex hit an intraday low of 76,030.59 before recovering some ground to end the session down 1,018.20 points, or 1.32 percent, at 76,293.60. The broader NSE Nifty index closed down 309.80 points, or 1.32 percent, at 23,071.80, after having hit a low of 22,986.65 earlier. Nevertheless, marginal losses in dollar index , quoting below 108 mark could support. Meanwhile, rupee has depreciated 3.3 per cent against the US dollar between October 2024 and January 2025, but the decline has been lower than some of its Asian currencies, Minister of State for Finance Pankaj Chaudhary informed Parliament on Tuesday. Since the commencement of the last quarter of calendar year 2024, rupee along with other Asian currencies depreciated against the US dollar amid uncertainties surrounding results of US elections, Chaudhary said in a written reply in the Rajya Sabha. US dollar Index rose 7 per cent during October 1, 2024, to January 30, 2025, with all major Asian currencies depreciating against the US dollar, he added.

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