Rupee opens higher against dollar on GDP boost

Indian Rupee

The rupee on September 1 opened higher against the US dollar after India's gross domestic product data came better than expected.

At 9.10 am, the rupee, which opened at 82.58, was trading at 82.63 to a dollar, up 0.2 percent from the previous close.

India's economy exceeded expectations by growing 7.8 percent in the April-June quarter and would further attract overseas money flow, analysts said.

The dollar index dropped while treasury yields fell due to weak economic data on growth and jobs, causing uncertainty about the US Federal Reserve rate hikes. Consumer spending improved slightly, providing some relief.

Asian currencies were trading mixed.

The South Korean won rose 0.15 percent, Taiwanese dollar, Philippines peso and China Offshore were up 0.08 percent each. Among the losers, the Thai Baht and the Indonesian rupiah were down 0.18 percent each, while the Malaysian ringgit lost 0.13 percent.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 103.64, up 0.02 percent from its previous close of 103.62.