The Indian rupee strengthened against the U.S. dollar in the morning deals on Wednesday, as regional shares rose on expectations of an imminent interest rate cut and as FIIs returned to the market.
The benchmark S&P Sensex is currently up to 401.26 points or 1.70 percent at 24,185. The broader CNX Nifty Index is also up to 137.60 points or 1.93 percent at 7,361.
Moody’s Investors Service said that India’s fiscal 2017 budget is moderately credit positive for most sectors, but efforts at deficit reduction will remain challenging.
Against the greenback, the rupee rose to nearly a 4-week high of 67.5800 from an early low of 67.7530. At yesterday’s close, the rupee was trading at 67.6100 against the greenback.
If the rupee extends its uptrend, it is likely to find resistance around the 66.80 area.
The material has been provided by InstaForex Company – www.instaforex.com