HomeWhat's TrendingRupee Opens Higher Against Dollar on GDP Boost

Rupee Opens Higher Against Dollar on GDP Boost

The Indian rupee showed resilience against the US dollar on September 1st, boosted by positive gross domestic product (GDP) data. Opening at 82.58, the rupee traded at 82.63 to the dollar, marking a 0.2 percent increase from the previous close.

India’s economy surpassed expectations, growing by an impressive 7.8 percent during the April-June quarter. This robust performance is expected to attract more overseas investments into the country.

Meanwhile, the US dollar index saw a decline, and treasury yields fell due to weak economic data concerning growth and job statistics. This situation has created uncertainty regarding the possibility of future US Federal Reserve rate hikes. Although consumer spending showed slight improvement, the overall economic climate remains uncertain.

In the broader Asian market, several currencies exhibited varying trends. The South Korean won rose by 0.15 percent, while the Taiwanese dollar, Philippine peso, and China Offshore yuan all experienced gains of 0.08 percent each. On the downside, the Thai Baht and Indonesian rupiah saw decreases of 0.18 percent each, while the Malaysian ringgit lost 0.13 percent.

The dollar index, a measure of the US dollar’s strength against major global currencies, held steady at 103.64, representing a marginal 0.02 percent increase compared to its previous close of 103.62.

These currency movements reflect the dynamic nature of global financial markets, influenced by factors such as economic data, monetary policy decisions, and investor sentiment. As India’s economy continues to demonstrate resilience, it remains an attractive destination for foreign investments.

Team Vakilsearch