Rupee strengthens to 94.06 against dollar, best in six months

The Indian rupee strengthened to ₹94.06 against the US dollar on November 7, its strongest level in over six months, surpassing the previous high of ₹93.99 recorded on April 23. The domestic currency opened at 94.50, depreciating 9 paise from its previous close of 94.41, but later recovered, supported by a weaker US Dollar Index, a sharp correction in oil prices, and improved global risk sentiment following US midterm election results, said Anil Kumar Bhansali of Finrex Treasury Advisors LLP. Expectations of easing West Asia tensions and renewed foreign portfolio inflows also lent support. Bhansali noted lower crude prices and sustained foreign inflows could provide further support, though dollar demand from importers and banks may restrict appreciation. Indian government bonds rose for a fourth straight session, with the benchmark 2036 bond yield easing to 7.17 percent before reversing from an intraday low of 7.06 percent.