On February 2, 2026, the Indian Rupee (INR=IN) extended its rise to 91.51 per U.S. dollar, appreciating 0.5% on the day. At 12:30 PM IST, the currency gained momentum on the back of strong foreign inflows, easing crude oil prices, and positive investor sentiment following Union Budget 2026.
The Indian Rupee (INR=IN) continued its upward momentum on February 2, 2026, trading at 91.51 per U.S. dollar at 12:30 PM IST, marking a 0.5% gain on the day. The appreciation reflects improved investor confidence and favorable macroeconomic conditions.
Key Highlights:
-
Currency performance: The rupee strengthened to 91.51/USD, extending gains from last week’s rebound.
-
Market drivers: Analysts attribute the rise to robust foreign institutional inflows, particularly into equities and debt markets, alongside easing global crude oil prices, which reduce India’s import bill.
-
Budget impact: Positive sentiment from Union Budget 2026, which emphasized infrastructure spending and fiscal discipline, has supported the rupee’s trajectory.
-
Global cues: A softer U.S. dollar index and stable U.S. bond yields provided additional tailwinds for emerging market currencies, including the INR.
-
Investor outlook: Traders expect near-term volatility but see the rupee maintaining strength if foreign inflows persist and commodity prices remain stable.
Outlook:
The rupee’s rise underscores India’s resilience amid global uncertainties. Market experts advise monitoring foreign exchange reserves, crude oil trends, and U.S. Federal Reserve policy signals to gauge sustainability of the rally.
Sources: Reuters, Economic Times Markets, Mint Business, Business Standard