Rupee settles 78 paise higher at 75.16 a dollar on stimulus boost

Indian rupee surged by ar 78 paise to 75.16 (provisional) against US dollar on Thursday after Finance Minister Nirmala Sitharaman anunced various welfare measures to tide through coronavirus crisis.

government on Thursday unveiled a Rs 1.70 lakh crore ecomic pack involving free foodgrain and cooking gas to poor for next three months, higher ws to workers and measures to boost liquidity of employees as part of measures to ease ecomic impact of lockdown.

Forex traders welcomed government initiatives and said revival of ecomy though welfare measures was very much needed as slowdown in demand was furr hit by COVID-19 pandemic.

rupee, which opened on a positive te at 75.90, settled for day with gains of 78 paise at 75.16 against American currency.

During day, domestic unit touched a high of 75.10 and a low of 75.94.

On Tuesday, rupee had gained 26 paise to settled at 75.94 against US dollar.

Forex market was closed on Wednesday on account of Gudi Padwa.

"Rupee rallies, playing catch-up with Asian currencies, amid a stock rally after US Senate passes virus rescue plan. India also anunced Rs 1.7 trillion spending plan as part of measures to ease ecomic impact of lockdown," said VK Sharma, Head PCG & Capital Markets Strategy, HDFC securities.