The Indian Rupee is holding steady against the US Dollar, which has seen slight losses. The Reserve Bank of India’s (RBI) February bulletin suggests that while inflation expectations in India might stabilize, there could be renewed pressure from certain food items like cereals and proteins. Retail inflation in January dipped to a three-month low of 5.1%, down from 5.69% in December. The RBI has kept interest rates and policy stance unchanged, emphasizing its commitment to achieving the 4% inflation target.
However, concerns over rising oil prices due to Red Sea ship attacks and expectations of delayed US rate cuts may support the US Dollar, limiting the downside for the USD/INR pair.
Investors are awaiting cues from the RBI MPC Meeting Minutes and the US S&P Global PMI report. Additionally, several US economic indicators and speeches from Federal Reserve officials are scheduled for the day.
In India, the S&P Global Services PMI for February improved to 62.0, while the Manufacturing PMI eased slightly to 56.7. The Indian economy is sustaining momentum, with robust demand in both manufacturing and services sectors. Bond issuance has been significant since January, indicating investor interest. The RBI expects a decrease in India’s debt-to-GDP ratio by 2030-31.
On the technical front, USD/INR remains within a descending trend channel, with initial support around 82.85 and resistance near 83.00. A breakout above 83.00 could see a move towards 83.20, while a drop below 82.70 may lead to further decline towards 82.45.
Overall, the USD/INR pair is influenced by factors such as RBI policy, US economic data, and global geopolitical developments.
US Dollar price today
The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the .
| USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
| USD | -0.15% | -0.07% | -0.17% | -0.14% | -0.07% | -0.35% | -0.15% | |
| EUR | 0.17% | 0.09% | -0.02% | 0.02% | 0.09% | -0.13% | 0.02% | |
| GBP | 0.09% | -0.07% | -0.10% | -0.16% | 0.01% | -0.20% | -0.05% | |
| CAD | 0.15% | 0.03% | 0.10% | 0.03% | 0.11% | -0.10% | 0.02% | |
| AUD | 0.16% | 0.02% | 0.14% | -0.02% | 0.14% | -0.12% | 0.02% | |
| JPY | 0.06% | -0.09% | 0.00% | -0.12% | -0.12% | -0.24% | -0.10% | |
| NZD | 0.31% | 0.15% | 0.25% | 0.11% | 0.15% | 0.25% | 0.15% | |
| CHF | 0.15% | 0.01% | 0.08% | -0.02% | 0.01% | 0.10% | -0.12% |
INDIAN ECONOMY FAQS
How does the Indian economy impact the Indian Rupee?
The Indian economy has averaged a growth rate of 6.13% between 2006 and 2023, which makes it one of the fastest growing in the world. India’s high growth has attracted a lot of foreign investment. This includes Foreign Direct Investment (FDI) into physical projects and Foreign Indirect Investment (FII) by foreign funds into Indian financial markets. The greater the level of investment, the higher the demand for the Rupee (INR). Fluctuations in Dollar-demand from Indian importers also impact INR.
