The Indian rupee is expected to open over 1% higher today, with the 1-month non-deliverable forward (NDF) market quoting 90.15–90.25 per US dollar. This signals renewed strength amid easing global dollar demand and improved domestic sentiment, setting the stage for a firmer start in currency trading.
At 8:36 AM IST, February 3, 2026, the 1-month non-deliverable forward (NDF) contracts for the Indian rupee indicated a sharp appreciation, quoting at 90.15–90.25 per US dollar, more than 1% higher than the previous close. This signals a stronger opening for the rupee in today’s trading session.
Key highlights driving momentum:
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Global Dollar Weakness: The US dollar index has softened as investors anticipate slower Federal Reserve rate hikes, reducing demand for the greenback.
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Domestic Sentiment: Improved capital inflows and easing crude oil prices have bolstered confidence in India’s external balance.
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Market Implications: A stronger rupee could ease import costs, particularly for energy and commodities, while also supporting inflation control.
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Currency strategists note that the NDF market often acts as a leading indicator for spot trading, suggesting that the rupee’s firm tone may persist through the day. Exporters may face near-term pressure, but import-heavy sectors like aviation and oil marketing companies stand to benefit.
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Outlook: With global headwinds easing and domestic fundamentals strengthening, the rupee’s trajectory today could reinforce investor confidence in India’s macroeconomic stability.
Sources: Reuters, Business Standard, The Economic Times, Mint