Mumbai, Sept. 25 -- The rupee appreciated 24 paise to close at 95.75 against the US dollar on Friday, holding above the 96-mark, on improved global risk sentiment and possible intervention by the Reserve Bank.
Forex traders said gains in the rupee were capped by US dollar demand from local importers, high crude prices and a stronger greenback driven by hawkish Federal Reserve signals.
At the interbank forex market, the rupee opened at 95.92 against the American currency. During the day, the local unit slipped to an intraday low of 95.94, but recovered lost ground to close at 95.75, a 24 paise rise from its previous close.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.18 per cent lower at 101.10.
The RBI is expected to step in as the rupee weakens toward 96, traders said, adding that India's economic adjustment remains controlled, backed by forex reserves close to $781 billion and strategic policies that have cushioned the economy from global energy
price shocks.
Published by HT Digital Content Services with permission from Millennium Post.