Rupee Gains To 73.65 Against Dollar, Off 1-Month Low

Rupee Vs Dollar Today: The rupee appreciated by 25 paise - or 0.34 per cent - to 73.65 against the US dollar on Friday amid gains in most Asian currencies, a day after declining to a one-month low. It moved within a range of 12 paise, between 73.65 and 73.77 against the dollar, having started the day stronger at 73.75 compared to its previous close of 73.90. A rebound in domestic equity markets along with a steady dollar supported the rupee, according to analysts. 

The dollar halted after days of upmove against a basket of currencies. The dollar index - which gauges the greenback against six peers - barely moved on Thursday, and was last seen trading 0.02 per cent lower. 

Asian currencies edged higher against the US dollar, with the Japanese yen last seen trading up 0.07 per cent. While the Chinese yuan was up 0.11 per cent, the Singaporean dollar was flat. 

Meanwhile, crude oil rates were steady on Friday as a new wave of coronavirus cases in Europe led several countries to reimpose travel restrictions. Brent crude futures - the global benchmark for oil prices - held little changed near the $42-per-barrel mark. 

"The rupee is likely to remain supported in line with the Asian peers... Broadly, there is cautiousness and a mild risk-off tone as investors are uncertain about the US administration's ability to pass a stimulus package after Federal Reserve officials indicated they expected more fiscal support," said Amit Pabari, managing director at forex advisory firm CR Forex.

"If there is no breakthrough in the stimulus yet another time, then we might see the resumption of risk-off mode. Until then, upticks close to 73.80-74.20 levels can be taken as selling opportunity," he added. 

At Wednesday's close of 73.90, the rupee has recovered 3.91 per cent from its all-time low of 76.91, registered in April this year, but is still down 3.56 per cent so far this year.