Relief Rally In The Currency Lane: Rupee Edges Up To 95.23 Versus US Dollar

Jyoti Rathi - Kolkata Bureau May 29, 2026 2,500 Views

The Indian rupee has strengthened to around 95.23 per US dollar in Monday’s session, marking a gain of nearly 0.5 percent on the day and extending its recent recovery streak. The move takes the currency to its strongest levels in roughly two weeks, helped by softer dollar cues and improved risk sentiment.

Rupee was quoted near 95.23 per dollar in the interbank market, firming from a previous close in the 95.65–95.70 zone late last week. Intraday, the currency traded in a relatively tight band, with traders citing balanced flows and a mildly weaker dollar index as supportive factors.

Intraday Move And Recent Context

The latest leg of appreciation builds on gains seen over the last two to three sessions, during which the rupee has clawed back more than 1.5 percent from recent lows. Commentators tracking the currency noted that improved risk appetite, cooling crude prices and some foreign portfolio inflows into domestic assets have eased immediate pressure on the rupee.

Drivers Behind The Rupee’s Strength

A modest retreat in the dollar index and expectations of a more patient stance from major central banks have tempered broad dollar strength, giving emerging market currencies some breathing room. For India specifically, a combination of stable macro data, active RBI presence in the FX market and manageable external balances has helped cap volatility and anchor expectations around the rupee.

Levels And What Traders Are Watching Next

With the rupee now holding around the 95.20–95.30 band against the dollar, near term attention will be on whether it can sustain below recent resistance levels if global risk sentiment stays constructive. Market participants are closely watching movements in crude oil prices, US yields and equity flows, which could quickly spill over into the USD/INR pair in the coming sessions.