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Rupee strengthens against US dollar on Tuesday

30 Aug 2022 Evaluate
Indian rupee strengthened against the US dollar on Tuesday as the US dollar pulled back from new two-decade highs. Firm trend in domestic equities, despite foreign fund outflows, also supported rupee sentiments. Foreign Institutional Investors (FIIs) remained net sellers in the capital market on Monday, offloading shares worth Rs 561.22 crore, exchange data showed. Although, higher oil prices and month-end dollar demand restricted the gains in rupee. On the global front, US Fed Chairman Jerome Powell had signaled in his Jackson Hole speech last week that the central bank must continue raising interest rates and keep them at an elevated level until it is confident inflation is under control, still making investors nervous.

The partially convertible currency is currently trading at 79.71, stronger by 20 paise from its previous close of 79.91 on Monday. The currency touched a high and low of 79.92 and 79.7175 respectively.

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