Rupee rises 3 paise to 83.90 against dollar

Mumbai: The rupee traded in a narrow range and settled higher by 3 paise at 83.90 against the American currency on Friday, as traders remained cautious ahead of Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium.

Forex traders said weak US Dollar, foreign fund inflows and a positive tone in the domestic markets supported the rupee. However, overnight gains in crude oil prices capped sharp gains.

At the interbank foreign exchange market, the local unit opened weak at 83.93 and touched an intraday high of 83.85 against the US dollar.

The domestic currency finally settled at 83.90, 3 paise higher from its previous close.

On Thursday, the rupee traded in a narrow range and settled lower by 3 paise at 83.93 against the American currency.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.10 per cent lower at 101.40.

On the domestic macroeconomic front, the minutes of the last Monetary Policy Committee (MPC) released by the RBI on Thursday noted that the calibrated increase in policy repo rate by 250 basis points since May 2022 and subsequent change of stance to the withdrawal of accommodation have facilitated gradual disinflation

over 2022-23.