Market News
India rupee climbs past 85/USD, central bank inaction surprises - REUTERS
By Nimesh Vora and Jaspreet Kalra
MUMBAI, April 4 (Reuters) - The Reserve Bank of India's inaction to the rupee's ongoing rally, which lifted it above 85, surprised market participants and sent traders scrambling to adjust positions after the central bank did not step in to absorb dollars as was expected.
The rupee rose to a peak of 84.9675 in early trade on Friday before trimming gains and was last quoted at 85.2650, up 0.2% on the day.
Recession worries stoked by sweeping U.S. tariffs dragged the dollar, helping the rupee rise above 85 for the first time this year and extending its rally into April after seasonal and portfolio dollar inflows boosted it last month.
