Rupee rebounds from record low: Currency rises 128 paise to 93.57 against US dollar

Rupee opened the week successful green, recovering sharply successful aboriginal commercialized aft regulatory involution aimed astatine curbing banks’ currency exposure. The currency climbed to 93.57 against the US dollar, connected Monday, gaining 128 paise from its erstwhile close, aft opening astatine 93.62 successful the interbank overseas speech market.

This comes days aft the currency had deed a grounds debased of 94.85 connected Friday, pursuing a steep autumn of 89 paise. The turnaround follows a directive issued by the Reserve Bank of India connected March 27, 2026, which placed a headdress of $100 cardinal connected the Net Open Position (NOP-INR) that banks tin clasp overnight. Lenders person been asked to comply with the caller bounds by April 10. Market participants said the determination is prompting banks to reassess their positions, peculiarly those with agelong dollar holdings successful the onshore market.

As these positions are reduced, dollar income are expected to increase, lending short-term enactment to the rupee. “As banks statesman adjusting their positions, they are apt to merchantability dollars successful the market, which tin temporarily enactment the rupee. This creates a signifier of relief, driven by presumption unwinding, not by a large displacement successful fundamentals, but inactive meaningful successful the adjacent term,” Amit Pabari, Managing Director astatine CR Forex Advisors told PTI.

Even so, the broader situation remains challenging for the Indian currency. The dollar continues to gully spot from safe-haven demand, keeping the dollar scale supra the 100 people and restricting immoderate sustained appreciation successful the rupee. The dollar scale was past seen marginally little by 0.06% astatine 100.09. At the aforesaid time, rising crude lipid prices are adding to pressure, with Brent crude trading 2.16% higher astatine $115 per tube successful futures. Geopolitical tensions person played a cardinal relation successful pushing lipid prices higher amid concerns implicit proviso disruptions. “For India, this is critical. Being a large lipid importer, higher lipid prices summation dollar demand, which straight puts unit connected the rupee,” Pabari said. He added that contempt the existent relief, the rupee’s outlook remains delicate to planetary factors specified arsenic lipid terms movements, geopolitical developments and the spot of the US dollar. Dalal Street besides reflected the cautious mood, with the BSE Sensex dropping 1,191.24 points to 72,391.98 successful aboriginal deals, and the Nifty 50 declining 349.45 points to 22,470.15. Foreign organization investors were besides seen pulling back, having sold equities worthy Rs 4,367.30 crore connected a nett ground connected Friday, arsenic per speech data.