Rupee edges up to 83.23 against dollar, may stabilise as RBI sales greenback

The Indian rupee is expected to remain stable as the RBI continues to sell dollars, while the market is uncertain about how the RBI will handle the impending $5 billion short position due on October 23

The Indian Rupee opened marginally higher against the US dollar tracking mixed Asian currencies. At 9.10am, the home currency was trading at 83.23 a dollar, up 0.03 percent from the previous close of 83.26. The Indian rupee is expected to remain stable as the RBI continues to sell dollars, while the market is uncertain about how the RBI will handle the impending $5 billion short position due on October 23. Analysts keeping an eye on Chair of the Federal Reserve of the United States Jerome Powell’s speech tomorrow, October 19, at 9:30 PM IST for insights into the US interest rate movement.

Asian currencies showed mixed performance as diplomatic hopes waned due to a deadly explosion in Gaza. US President Joe Biden’s visit to Israel and Jordan faced disruptions following the Gaza hospital explosion and Arab leaders’ withdrawal from a planned meeting.

China Offshore spot gained 0.23 percent, South Korean won rose 0.22 percent, and Japanese yen up 0.09 percent. Meanwhile, Malaysian ringgit fell 0.13 percent while the Indonesian rupiah lost 0.08 percent.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 106.194, down 0.05 percent from its previous close of 106.25.