Indian rupee appreciated against the US dollar on Monday supported by a weak American currency and on expectations of a further reduction in key interest rate by the Reserve Bank. Traders took support as finance minister Nirmala Sitharaman has said India is sustaining its Gross Domestic Product (GDP) growth momentum as the fastest-growing economy for the fourth year in a row. She said India’s manufacturing activity has been ‘good’ during the January-March period, which has helped clock a GDP growth of 7.4 per cent during the quarter and 6.5 per cent for the full 2024-25 fiscal. On the global front, U.S. dollar weakened against other major currencies in the European session on Monday, as U.S. President Donald Trump's decision to double tariffs on steel and aluminum imports along with rising Sino-U.S. tensions threatened to rekindle global trade tensions.
Finally, the rupee ended at 85.39 (Provisional), appreciated by 16 paise from its previous close of 85.55 on Friday. The currency touched a high and low of 85.55 and 85.30 respectively.
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