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Rupee strengthens against dollar on Thursday
Sep-28-2023

Indian rupee appreciated against the dollar on Thursday aided by a correction in crude oil prices and the greenback. Traders got support after Fitch Ratings stated that the inclusion of certain Indian sovereign bonds in key emerging-market bond indices managed by JP Morgan will support a diversification of the investor base for Indian government securities. Investors ignored report stating that India's current account deficit (CAD) surged to $9.2 billion in the first quarter of 2023-24, more than seven times what it was in the preceding quarter. According to data released by the Reserve Bank of India (RBI), CAD in April-June amounted to 1.1 percent of GDP. On the global front, the dollar steadied near its highest level against a basket of its peers on Thursday, keeping the yen near a key intervention zone and the euro at an eight-month low, as U.S. longer-dated yields extended their rise.

Finally, the rupee ended at 83.19 (Provisional), stronger by 3 paise from its previous close of 83.22 on Wednesday. The currency touched a high and low of 83.25 and 83.13 respectively.


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