The rupee's upward trend against the US dollar continued on Friday, as it strengthened beyond the 90 mark, reaching

89.96 in early trading. The currency's opening value was 90.1325 per dollar, a roughly 0.1% increase from its previous

closing of 90.20 against the dollar.

This appreciation follows a period of record lows for the rupee earlier in the week, during which it even weakened to 91

against the US dollar. The recovery is largely attributed to intervention by the Reserve Bank of India (RBI), which

stepped in to sell dollars after the rupee experienced significant and persistent downward pressure.

According to bankers, the RBI's intervention aimed to counter the one-directional depreciation that had developed in the

market, prompting the unwinding of bearish positions. Market observers noted that the RBI's recent actions mirrored its

approach in October and November, when it intervened multiple times to address ongoing currency weakness by heavily

selling dollars in both spot and non-deliverable forward (NDF) markets.

State Bank of India (SBI), in its latest report, has projected a strong rebound for the rupee in the latter half of the

next financial year. The country’s largest lender anticipates this recovery to materialize between October 2026 and

March 2027. SBI stated that its outlook is informed by historical currency trends and internal analysis, suggesting that

the current period of weakness is not structural. The report further noted that the rupee has historically experienced

multiple cycles of depreciation and appreciation and is expected to emerge from its current downtrend during the second

half of the next fiscal year.