Mumbai: The rupee appreciated 11 paise to 95.63 against the U.S. dollar in early trade on Friday as market participants awaited the Reserve Bank of India’s policy decision, amid encouraging news from India-U.S. trade discussions.
Forex traders said the 96.00 zone remains a strong resistance area for the USD/INR pair.
If the RBI signals a cautious approach toward inflation and currency stability in its policy decision, the rupee could gradually move back towards the 95.00-95.20 region in the near term, traders added.
The rupee’s movement comes as investors weigh domestic monetary policy cues alongside developments in bilateral trade talks.
