Rupee strengthens against US dollar on Monday
The Indian rupee strengthened against the US dollar in early trade on Monday, following RBI's tightened rules to curb speculative positions, capping banks’ net open positions at $100 million. Rupee improved further as the United States and Iran alongside regional mediators are engaged in talks to secure a 45-day ceasefire designed to prevent further regional escalation, despite Trump’s threat to strike Iran's infrastructure if Strait of Hormuz isn't reopened by Tuesday. However, unabated withdrawal of foreign capital, strengthening American currency, and rising crude oil prices have limited further gains in the rupee. Foreign institutional investors sold equities worth Rs 9,931.13 crore on a net basis on Thursday, exchange data showed. Meanwhile, traders turned their attention to the bi-monthly monetary policy committee (MPC) review, with the final policy decision due on Wednesday. Equity and forex markets remained closed on Friday due to Good Friday.
