Dollar vs Rupee: The dollar index, which gauges the greenback's strength against six major currencies, fell 0.33 per cent to 97.47, giving the rupee additional strength.

Indian rupee appreciates against the US dollar

Rupee vs Dollar: The Indian rupee has strengthened amid the shock of the Supreme Court of the United States' decision and the global uncertainty created by President Donald Trump's proposal to increase tariffs by 15 percent. On Monday, the first trading day of the week, the rupee rose 21 paise to reach 90.73 against the US dollar.

A sharp drop in global crude oil prices and a weakening dollar supported the domestic currency. The rupee opened at 90.76 at the interbank foreign exchange market and gained 21 paise to reach 90.73, up 21 paise from its previous close.

Rupee appreciates

Earlier on Friday, the rupee had fallen 26 paise to close at 90.94. The dollar index, which gauges the greenback's strength against six major currencies, fell 0.33 percent to 97.47, giving the rupee additional strength.

The domestic stock market also saw a positive trend. The BSE Sensex rose 621.78 points to 83,436.49 in early trade, while the Nifty 50 gained 180.05 points to trade at 25,751.30.

Crude oil prices fell 1.09 percent, with the international benchmark, Brent crude, falling to $70.98 per barrel. The lower oil prices provide relief to importing countries like India and also support the rupee.

Foreign exchange reserves increased

However, according to stock market data, foreign institutional investors (FIIs) remained sellers on Friday, selling shares worth ₹934.61 crore. Despite this, the rupee remained strong on improving global cues and a weak dollar.

Forex traders say a strong opening in the stock market and a rise in India's foreign exchange reserves have bolstered investor confidence. According to data released by the Reserve Bank of India (RBI) on Friday, the country's foreign exchange reserves increased by $8.663 billion to a record $725.727 billion in the week ended February 13. This is the highest level ever.

Experts believe that strong foreign exchange reserves not only provide stability to the rupee but also give investors confidence amid global economic uncertainty. Additionally, the rally in the domestic stock market and the weakness in the dollar have also played a significant role in creating a positive sentiment.