MUMBAI: The Indian rupee was little changed on Monday as sustained dollar demand from importers kept the local unit sticky even as the dollar index slumped to its lowest level in over 2 months.
The rupee was at 83.2675 against the US dollar as of 10:40 a.m. IST. It closed at 83.27 in the previous session.
Asian currencies rallied, led by the offshore Chinese yuan and the Indonesian rupiah, both up by over 0.5%. The dollar index fell to 103.6, its lowest level since early September.
The dollar has weakened as market participants price out the risk of further tightening from the US Federal Reserve following weaker-than-expected economic data released last week.
While the rupee may benefit marginally from the weaker dollar, traders broadly expect the local currency to continue holding in narrow range.
Comments
Comments are closed.