Extending its winning streak for the seventh consecutive session, the rupee appreciated by 31 paise to close at 85.67 (provisional) against the US dollar on Monday, recovering all its losses in 2025.
The local currency was supported by a positive trend in domestic equity markets and fresh foreign capital inflows. Additionally, lower global crude oil prices and the continued weakness of the US dollar further lifted market sentiment, traders said.
Despite the gains, risks such as liquidity constraints and the possibility of reciprocal tariff measures remain challenges for the rupee, they added.