Analysts See Rupee Leaving 95‑50 Band, Targeting 94.80 Support

On Thursday, the Indian rupee strengthened to 94.85 per U.S. dollar, a 32‑paise rise from its opening level of 94.91.

The rally reflects the Reserve Bank of India's recent foreign‑exchange interventions and a softer dollar environment worldwide.

Key RBI actions this month include tighter regulations on FX derivatives to limit betting against the rupee, a compulsory 20 percent reserve on dollar buys above $2 million, and a ban on re‑booking cancelled derivative contracts that involve the rupee.

The currency had closed the previous session at 95.16 per dollar, after gaining 19 paise.

Currency strategists say the rupee has now decisively moved out of its 95.50‑95.00 trading corridor. The next crucial technical level sits near 94.80; staying beneath this point could invite additional upside.

Lower dollar demand from oil‑marketing firms, coupled with a more positive market outlook, also helped the rupee’s advance.

Globally, the dollar index slipped to 101.99 and Brent crude declined about 2 percent to $104.30 a barrel.

Indian stock markets posted gains, with the Sensex up more than 1 percent to 73,836.71 and the Nifty rising to 22,929.55.