Rupee boom, 61 paise stronger against dollar

Business News: On Friday, the Indian rupee closed up 61 paise to close at 86.07 against the dollar. This boom was the second biggest lead in the last two months for the rupee. Earlier on February 11, the rupee closed with a gain of 68 paise. However, on Friday, the rupee was initially strengthened by 51 paise, but still it was much higher than expected.

Experts believe that this strength in the rupee is behind the decline in the US dollar index and a good condition of the domestic stock markets. Due to the decline in the dollar index, it is estimated that it can go down to a level of 95, making the rupee reach 83 or better.

The announcement by US President Donald Trump to suspend 26 percent of tariffs on India by July 9 was also helpful in the strength of the rupee. Along with this, positive trends in domestic stock markets and dollar weakness in foreign exchange market further promoted the rupee.

According to Anil Kumar Bhansali, Treasury Head of Finrex Treasury Advisors, the rupee may remain in the radius of 85.75-86.25 next week. In addition, the dollar is falling against Asian and European currencies, while China has imposed 125 percent tariff on US exports, which continues the trade war.

This change indicates the strength of Indian currency, which may be even better in the coming times.