India’s rupee remains range-bound near 95.50-96.00 against the dollar despite strong inflows and higher FX reserves.
The Indian rupee has held steady against the US dollar, trading within a tight 95.50–96.00 range as inflows offset trade-related pressures. Strong FCNR (B) swap inflows and elevated foreign exchange reserves have not driven significant appreciation.
Recent data shows limited volatility in USD/INR, contrasting with broader emerging market currency movements. Analysts note that while inflows provide support, persistent trade deficits and global dollar strength cap gains.
Market reaction has been muted, with traders awaiting further cues on monetary policy or external demand shifts.