Rupee Bounces Back, Hits 95.85 vs Dollar Amid Strong Equities

The Indian rupee rose by 14 paise to 95.85 against the US dollar in early trade on Friday, marking a gain from its previous closing level.

The rupee's strength was attributed to a positive trend in domestic equities and remained above the key psychological barrier of 96 per dollar.

Forex traders noted that persistent dollar demand from domestic importers, elevated crude oil prices, and a broad-based strength in the US dollar index were weighing on the local unit.

Anindya Banerjee, Head of Commodity and Currency Research at Kotak Securities, said 'We expect the Reserve Bank to lean against the move closer to 96.'