The Indian rupee remained stable at 85.79 against the U.S. dollar in early trading on January 6 as currency markets showed little movement despite global economic uncertainties.
The rupee opened flat in the session, holding steady after fluctuations in the previous week. Experts attributed the stability to a balance between dollar demand from importers and foreign fund inflows. The Indian currency has been under pressure in recent months due to rising oil prices and global interest rate hikes, but the Reserve Bank of India’s (RBI) intervention is believed to be helping contain extreme volatility.
The U.S. dollar, meanwhile, has remained strong against a basket of major currencies as investors continue to monitor key data releases and the global economic outlook. While the rupee’s recent trajectory has shown resilience, analysts suggest that ongoing foreign fund outflows and potential global risks could weigh on the Indian currency.
Market participants are also keeping an eye on upcoming inflation data and any signals from the RBI regarding potential monetary policy adjustments.
As trading continues, the rupee’s performance will depend largely on the broader global economic developments and domestic factors influencing investor sentiment.
