The Indian rupee appreciated by 21 paise on Friday as lower oil prices and fears over the damage due to President Donald Trump's tariff policy to the US economy pressured the dollar.
The local unit closed at 85.23 against the greenback. The rupee witnessed its biggest intraday gain against the dollar since March 24. It had opened at 85.75.
For the truncated week, the rupee strengthened by 23 paise or 0.27%.
The USDINR pair is expected to move downwards, with 84.90-85.00 acting as a strong support, while 85.60 will act as a strong resistance, according to Amit Pabari, managing director at CR Forex Advisors.
The dollar made a comeback internationally after its worst showing since October. The dollar index was up 0.43% to 102.51. The Japanese Yen, euro and the British pound slipped against the greenback.
The US currency had initially weakened against major currencies amid fears of inflation and recession hitting the world's largest economy due to Trump tariffs.
Crude oil prices extended their decline, with the international benchmark Brent losing 3.6% to trade below $68 per barrel. Prices crashed over 7% on Thursday, amid fears over global demand as tariffs will likely slow growth in major consumers like the US, China and Japan.
Lower crude prices bodes well for the rupee as India is a large importer.
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