Rupee gives up early gains to end near 2-month high; closes at 87.84/$

Indian Rupee today: The domestic currency closed one paise higher at 87.84 against the greenback on Friday

The Indian Rupee gave up early gains to end flat on Friday, hovering around the 2-month high mark, amid a jump in oil prices and a strengthening dollar index. 

 

The domestic currency closed one paise higher at 87.84 against the greenback on Friday, according to Bloomberg. In the intraday deals, the unit rose to 87.64 mark. The currency fell 2.59 per cent so far this year. The Dollar Index remained strong, while most Asian currencies showed slight gains

 

Anil Kumar Bhansali, head of treasury and executive director at Finrex Treasury Advisors LLP, sees 88.00 as near-term resistance and 87.60 as support, with small inflows and intra-day outflows contributing to two-way movement. Rising oil prices, up over $5, have added to the mixed global sentiment, he said.

 

 

Analysts also noted that the key event to watch will be the US CPI data, which could influence dollar movement and, in turn, rupee volatility. 

 

The dollar index edged higher on Friday as Donald Trump and Xi Jinping plan to meet next week on the sidelines of the Asia-Pacific Economic Cooperation summit. The measure of the greenback against a basket of six major currencies was up 0.12 per cent at 99.057. 

 

In commodities, crude oil prices traded slightly lower after the prices spiked by more than 5 per cent on Thursday on US sanctions over two Russian Oil companies. Brent crude price was down 0.14 per cent at 65.90 per barrel, while WTI crude prices were lower by 0.10 per cent at 61.74 per barrel, as of 3:25 PM IST.  

 

As of September 2025, the real effective exchange rate (REER) of the Indian rupee fell further to 97.6, from 98.8 in August. REER adjusts the nominal effective exchange rate to account for inflation differentials between India and its major trading partners.

 

Meanwhile, the RBI did not purchase dollars for the second consecutive month amid pressure on the rupee. The Reserve Bank of India (RBI) sold $7.6 billion in August, compared with $2.5 billion in July.