The rupee has gained 63 paise against the dollar on a weekly basis. After December 24, the rupee has recorded the best weekly gain.
On March 16, the Federal Reserve increased the interest rate by 0.25 percent.
Finally US Federal Reserve ,US Federal reserves) decided to increase the interest rate in the meeting held this week. On March 16, the Federal Reserve raised the interest rate by 0.25%. Interest rate hikes) has decided. It is believed that record inflation (inflationBetween ) this year the Federal can increase the interest rate seven times. The interbank foreign exchange market (forex) amid a weakening dollar and a rally in the domestic stock market after the Federal Reserve raised interest rates.Dollar vs RupeesOn Thursday, the rupee gained 37 paise to close at 75.84 per dollar against the US currency. The rupee has gained 63 paise against the dollar on a weekly basis. After December 24, the rupee has recorded the best weekly gain.
This week the dollar index closed at 98.21. It recorded a decline of 0.91 percent on a weekly basis. Due to the decision taken on the interest rate in the FOMC meeting on March 16, the dollar index fell by 0.45 percent and on March 17, 0.66 percent. Before the Federal meeting, the dollar index was at a level of 99.06. This index shows the strength of the dollar against the world’s six major currencies. The dollar has remained under pressure since the Fed’s decision.
The effect of stability in crude oil
Dilip Parmar, Research Analyst, HDFC Securities said the rupee posted its best weekly gain since December 24 amid weakness in dollar index, improving risk appetite, stability in crude oil prices and increased foreign fund inflows. .
Crude oil at 108 dollars
This week crude oil has closed at the level of $ 108 per barrel. Crude oil reached the level of $ 139 per barrel in the international market due to the increasing crisis between Russia-Ukraine. India imports 85 per cent of its oil requirement. In such a situation, the price of crude oil has a great impact on the rupee.
Rupee reaches two-week high
ICICI Direct says that this week the rupee closed at a two-week high against the dollar. After a long time, foreign investors have made a comeback in the Indian market. Foreign Institution Investors have made a comeback in the Indian market and have bought 312 crores. Due to the rise in crude oil, the rupee had slipped to a record level of 77.33 against the dollar.