Mumbai, Nov 24 (NationPress) The Indian rupee commenced the day on a positive note, appreciating by 26 paise against the US dollar, attributed to insights from currency analysts indicating that this upswing might stem from backing by the Reserve Bank of India (RBI).

The rupee's opening value stood at 89.1450 versus the US dollar, contrasting with its previous closing figure of 89.4088.

Analysts noted that 88.80 has now established itself as a significant support level from a technical standpoint.

They further mentioned that a daily close below this threshold could indicate additional strength for the currency.

Previously, on November 21, the rupee had plummeted to a historic low of 89.49 against the dollar, spurred by foreign capital outflows from Indian stock markets, uncertainty surrounding a potential US-India trade agreement, and the RBI's lack of visible intervention at that time.

In recent weeks, the central bank has been actively participating in the currency market to mitigate sharp fluctuations and stabilize the rupee's value.

“The rupee sharply fell to a new all-time low of 89.60, declining by 0.90 paise or -1.02 percent, as the absence of clear communication regarding the India–US trade deal resulted in intense selling pressure,” remarked analysts.

“Without clarity on tariff reductions or trade-related assurances, sentiment remained weak, leading to a comprehensive risk-off approach towards the rupee,” they added.

The near-term outlook suggests potential weakness could continue, with the rupee expected to trade within the range of 89.20–90.00, according to market observers.

Meanwhile, Indian stock markets started positively on Monday, buoyed by a surge in global market activity.

Both benchmark indices gained up to 0.1 percent in early trading. The Sensex was recorded at 85,354, up 122 points, while the Nifty stood at 26,109, increasing by 41 points.