Rupee rises to 11-month high vs US dollar

After US Federal Reserve Chair Jerome Powell reinforced the possibility of an interest rate cut on Thursday, the rupee along with other Asian currencies strengthened against US dollar, touching a high of Rs 68.30. Further as a consequence, the benchmark Sensex rose by 0.42% to 38,720.44 points. So far this year, the index has risen by 7.38%. The dollar index, which is a measure of the US currency’s strength against a basket of other major currencies, was at 96.91, 0.2% down from its previous rate of 97.1.

The Fed Chairman has expressed concerns about the US economy facing risks by a flagging business sentiment, a global slowdown in manufacturing and a consistently low inflation rate.