The US dollar fell below Rs155 in the interbank market in Thursday's trading session as it was quoted at Rs154.98/155.02 (11:45 PST) with trades reported at Rs155.From yesterday's close of Rs155.39, this translates into a rise of around 40 paisa for the rupee.
This is the first time since March 6, 2020, that the dollar has fallen below the Rs155 level.The US dollar on Wednesday lost almost Re1 against the rupee as exporters fearing further weakening started selling their greenback holdings in the interbank market.
The dollar fell further 74 paisa to close at Rs155. The steep fall created panic among the exporters, who keep their proceeds for up to 90 days.
“The free float of the exchange rate is now in favour of local currency since the improvement in the country’s external account. However, the main reason behind the fall is the selling of dollars by the exporters, which has further curtailed the demand for the greenback in the interbank market,” said Atif Ahmed, a currency dealer in the interbank market.
He said the dollar further declined in the second half of the session and was traded for Rs155.50 for next day (tomorrow value).