Dollar vs rupee: The rupee has slipped to a record low level against the dollar. Today, the initial session saw a decline to a record low of 87.95 per dollar. Then later a little recovery came. At the end of the trading, the Indian rupee closed at Rs 87.48 per dollar on Monday, compared to 87.42 on Friday. On the other hand, the dollar index has also crossed 108. Donald Trump has said that tariffs on many other countries are possible. After his statement, the rupee has increased. This may be announced on Tuesday or Wednesday. Tariff is also possible on steel and aluminum from the US. The rupee has been strongly under pressure in the dollar index.
Research analyst Anuj Chaudhary at Mirai Asset Sharekhan The Indian rupee reached the new record low in early trade due to weak domestic markets and strong US dollar index. However, due to intervention by RBI, the rupee compensated the initial loss. The non-agnar payroll report in the US has been mixed. The growth in employment has been less than estimated. While unemployment rate has been better than forecast. It is expected that the rupee will trade with negative trends between weak domestic markets and FII withdrawal.
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Anuj Chaudhary further said that a strong US dollar can also be under pressure amid uncertainty on the US tariff policy. However, with any intervention by RBI, the rupee can get support at the lower levels. The currency traders will monitor the inflation figures of the US and India coming this week. The USDINR spot price is expected to trade within a radius of Rs 87.25 to Rs 87.80.
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