Rupee gains 9 paise to 95.65 against U.S. dollar in early trade

The rupee gained 9 paise to 95.65 against the U.S. dollar in early trade on Friday (August 21, 2026), supported by the weakening of the American currency in overseas markets. Forex traders noted that for India, a softer dollar is offset by elevated crude oil prices. Meanwhile, RBI Governor Sanjay Malhotra indicated the central bank expects at least $80 billion in foreign currency inflows. While his statement provided some reassurance, oil prices, geopolitical uncertainty, and reduced foreign presence continue to neutralize fresh dollar inflows. The rupee opened at 95.69, then rose to 95.65, higher by 9 paise from its previous close. On Thursday (August 20, 2026), the rupee settled down 1 paisa at 95.74. Amit Pabari, MD of CR Forex Advisors, stated that $56.85 billion has been mobilized through FCNR(B) deposits, but unlike past schemes, this year’s inflows haven’t led to meaningful currency strength. Meanwhile, the dollar index was trading lower by 0.15% at 98.74, and Brent crude was at $93.56 per barrel, reflecting geopolitical tensions. On the domestic market, Sensex and Nifty were trading lower, with foreign institutional investors offloading equities worth ₹583.36 crore on Thursday.