Rupee trims losses after S&P Global rating upgrade; ends at 87.55/$

India Rupee today: The domestic currency closed 11 paise lower at 87.55 against the greenback on Thursday

The Indian Rupee avoided sharp losses on Thursday after a rating upgrade from S&P Global helped erase declines later in the day.

 

The domestic currency closed 11 paise lower at 87.55 against the greenback on Thursday, according to Bloomberg. The unit fell as low as 87.67 during the day, but saw a sharp recovery post the ratings upgrade. 

 

Credit rating agency S&P Global upgraded India's long-term unsolicited sovereign credit ratings to 'BBB' from 'BBB-' on Thursday, citing economic resilience and sustained fiscal consolidation. It revised the outlook on India's rating in May last year to positive from stable on robust growth and improved quality of government expenditure.

 

"The upgrade of India reflects its buoyant economic growth, against the backdrop of an enhanced monetary policy environment that anchors inflationary expectations," the rating agency said in a statement.

 

The rupee has depreciated by 2.4 per cent in the current financial year so far, whereas it has weakened by 2.27 per cent in the current calendar year so far.