Rupee surges 16 paise to 74.78 against US dollar ahead of RBI policy decision

rupee appreciated 16 paise to 74.78 against US dollar in opening tre on Thursday ahe of Reserve Bank of India's monetary policy decision. At interbank forex market, domestic unit opened strong at 74.82 against US dollar, gained furr ground and touched 74.78 against US dollar, registering a gain of 16 paise over its previous close. It h settled at 74.94 against US dollar on Wednesday. Forex trers said investor focus will be on RBI monetary policy, scheduled for later in day.

"A 25 bps cut is widely anticipated. More than cut, tone of policy statement and regulatory measures to facilitate transmission would be in focus," said Abhishek Goenka, Founder and CEO, IFA Global.

Besides, positive trend in equity markets and weak American currency also supported rupee, trers said. Meanwhile, dollar index, which gauges greenback's strength against a basket of six currencies, fell 0.12 per cent to 92.75. On domestic equity market front, 30-share BSE benchmark Sensex was tring 213.30 points higher at 37,876.63 and broer NSE Nifty vanced 63 points to 11,164.65. Foreign institutional investors were net sellers in capital market as y offloed shares worth Rs 60.18 crore on Wednesday, according to provisional exchange data. Brent crude futures, global oil benchmark, rose 0.22 per cent to USD 45.27 per barrel.