Rupee recovers its 2025 losses; jumps 31 paise to close at 85.67 against U.S. dollar

Only representative image. File | Photo Credit: Hindu

Increasing for the seventh straight session, the rupee appreciated 31 money on Monday (March 24, 2025) against the US dollar, erasing all its losses in 2025, supported by a positive trend in domestic equity markets and fresh foreign capital flows.

The traders said, “In addition, the level of low global raw value and continuous weakness in greenbacks have also been promoted. However, from risky risk – from lack of liquidity to mutual tariff implementation – continue to face challenges for the local unit,” the traders said.

In interbank foreign currency, the rupee opened at 85.93, then touched a low of 86.01 against an intrade high of 85.49 and 86.01 against Greenback. The unit finished the session at 85.67 (provisional), registering a profit of 31 money from its previous closing level. On Friday (March 21, 2025), the rupee appreciated 38 money at 85.98 against the US dollar.

This is the seventh direct session of profit for the rupee, during which it added 154 money. The local unit has recovered all its losses for 2025. On December 31, 2024, the rupee closed at 85.64 against Greenback.

Research analyst of HDFC Securities said, “Indian rupee met the annual deficit as annual banks and exporters as sold dollars before the end adjustment of the financial year, while the state level banks stayed separate from buying between USD/INR Swap of RBI,” said the research analyst of HDFC Securities.

Mr. Parmar further mentioned that emotions became positive from the American representative going to India before April 2, mutual tariff implementation. In addition, foreign funds who bought in domestic equity also supported the rupee.

“In the near period, Spot USD/INR is supporting 85.20 and resistance at 86.05,” he said. Meanwhile, the dollar index, which detects the strength of greenback against a basket of six currencies, was trading 0.09% less at 103.99.

Global Oil Benchmark Brent crude, futures trading 0.54% to $ 72.55 per barrel.

In the domestic equity market, the 30-cheer BSE Sensex increased by 1078.87 points or 1.40%, settling at 77,984.38, while Nifty advanced 307.95 points or 1.32% closed at 23,658.35 points.

According to exchange data, foreign institutional investors (FII) bought a price of 7,470.36 crore on a net basis on Friday (March 21, 2025).

RBI said on Friday (March 21, 2025.), “Meanwhile, the country’s foreign exchange reserves increased by $ 305 million during the week ended March 14.”

In the previous reporting week, the overall reserves rose $ 15.267 billion to $ 653.966 billion and recorded the fastest weekly growth in two years. In foreign reserves, Spike was partially held responsible for the $ 10 billion forex swap made by the Reserve Bank of India.

The Indian Equity Market has seen a moderation under the pressure of FPI with an outflow of ₹ 1,794 crore ($ 194 million) last week, which has increased optimism around a potential de-skeleton to reduce global concerns and to reduce global concerns and a potential de-size in the Russia-Ukraine conflict.