The Indian rupee on Thursday strengthened nearly 1% against the US dollar tracking rally in global equities and currencies after the US Senate passed a $2 trillion stimulus package.
At 11.04 am, the domestic currency was trading at 75.38 a dollar, up 0.9% from its previous close of 76.10. The rupee had opened at 75.89 and touched a high of 75.18 a dollar. The 10-year government bond yield fell 2 basis points to 6.285% from its previous close of 6.304%.
The US Senate approved a $2 trillion stimuls plan after days of intense negotiations, putting pressure on the House to pass the bill quickly and send it to US President Donald Trump for his signature.
In India, traders await a potential fiscal stimulus package from the government after a 21-day lockdown was announced to contain the spread of coronavirus . According to a Bloomberg report, the Reserve Bank of India is expected to infuse cash in the banking system via its open market bond purchase and repo operations later on Thursday.
Read EquityPandit’s Nifty Outlook for the Week