Rupee rises 5 paise to 94.46 against U.S. dollar in early trade

Account subscription benefits alongside Premium Stories, Editorials, Opinions and more.

Unlock these with Subscription

The View From India Looking at World Affairs from the Indian perspective.

First Day First Show News and reviews from the world of cinema and streaming.

Today's Cache Your download of the top 5 technology stories of the day.

Science For All The weekly newsletter from science writers takes the jargon out of science and puts the fun in!

Data Point Decoding the headlines with facts, figures, and numbers

THEdge At the cutting edge of education and careers

Health Matters Ramya Kannan writes to you on getting to good health, and staying there

Gender Agenda Stories from beyond the binary.

The Hindu On Books Books of the week, reviews, excerpts, new titles and features.

Updated - September 04, 2026 11:35 am IST - Mumbai

At the interbank foreign exchange market, the rupee opened at 94.53 against the U.S. dollar, then gained ground to touch 94.46, registering a gain of 5 paise from its previous close.

File | Photo Credit: Reuters

The rupee gained 5 paise to 94.46 against the U.S. dollar in early trade on Friday (September 4, 2026), supported by optimism over rising foreign inflows and a rise in risk appetite.

Forex traders said the rupee is poised to gain strength, supported by strong underlying inflows and aggressive RBI intervention.

However, higher crude oil prices and potential U.S.-Iran tensions could limit further gains.

At the interbank foreign exchange market, the rupee opened at 94.53 against the U.S. dollar, then gained ground to touch 94.46, registering a gain of 5 paise from its previous close.

On Thursday (September 3, 2026), the rupee extended its gaining momentum for the fifth straight session appreciating 22 paise to close at 94.51 against the U.S. dollar.

India mobilised a record $127.23 billion through foreign-currency deposits under a special central-bank programme aimed at bolstering the country's foreign-exchange liquidity.

Including overseas foreign-currency borrowings (OFCB) and external commercial borrowings (ECB), total inflows under the measures reached $136.377 billion, according to RBI data.

"Overall, the FCNR story has given the rupee a strong shot in the arm, but the underlying fundamentals still carry their share of risk.

94.00–94.20 remains a strong support zone.

Any negative surprise, especially from the oil front, could pull USDINR back up towards 95.00, 95.50 and eventually 96.00," C.R.

Forex Advisors MD - Amit Pabari said.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 99.05, higher by 0.15 per cent on safe-haven demand amid renewed U.S.-Iran tensions.

Brent crude, the global oil benchmark, was trading higher by 0.40% at $95.90 per barrel in futures trade, on escalating U.S.-Iran tensions and fears of disruption to oil flows through the Strait of Hormuz.

On the domestic equities market front, Sensex jumped 468.64 points to 76,621.50 in early trade, while the Nifty was trading up 42.10 points at 23,915.55.

Foreign institutional investors offloaded equities worth ₹2,345.87 crore on a net basis on Thursday (September 3, 2026), according to exchange data.

currency values / economy, business and finance / financial markets / business (general)

Terms & conditions | Institutional Subscriber

Comments have to be in English, and in full sentences.

They cannot be abusive or personal.

Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform.

If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles.

If you do not have an account please register and login to post comments.

Users can access their older comments by logging into their accounts on Vuukle.