Now Reading: Rupee recovers 6 paise to 95.38, down 0.2% for week
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Rupee recovers 6 paise to 95.38, down 0.2% for week
The rupee opened 6 paise higher at 95.38 against the U.S. dollar on Friday, aided by a pullback in crude oil prices and softer U.S. producer price data, according to LiveMint. The…
The Story in Brief
The rupee opened 6 paise higher at 95.38 against the U.S. dollar on Friday, aided by a pullback in crude oil prices and softer U.S. producer price data, according to LiveMint. The currency remains under pressure for the week, slipping about 0.2%, with bankers attributing the modest decline to near-daily RBI interventions that absorbed persistent dollar demand.
On Thursday, the rupee had fallen 12 paise to close at 95.45, weighed by weak domestic markets and foreign fund outflows amid lingering geopolitical risks, The Hindu reported. While Brent crude traded around $87 a barrel, tanker freight rates have risen 33% since July, pointing to continued supply risks. Foreign portfolio investors have pumped in $1.7 billion in equities so far this month, providing some support.
The Indian Opinion
The story paints RBI as a hero shielding the rupee, but the subtext is that without near-daily intervention, the currency would have cracked far below 95. The narrative also leans too heavily on crude oil alone, ignoring that freight rates and vessel traffic are better stress gauges than headline prices. Instead of speculating, watch actual tanker crossings through key waterways, that number will tell us if supply risks are real or just noise.
Sources (2): thehindu.com, livemint.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
