Ruppe vs dollar: Regarding the anticipated 25 to 50 basis point increase in interest rates at the European Central Bank (ECB) monetary policy meeting slated for July 21, 2022.

The Indian National Rupee (INR) increased 6 paise versus the US dollar (USD) and climbed to 79.76 levels on Monday as the dollar index traded marginally lower in the early morning session.

The Indian rupee gained 6 paise from the previous close to open at 79.76 against the US dollar at the interbank foreign exchange.

Today's early morning session saw the Indian rupee reach a top of 79.72 and a low of 79.81 in relation to the US dollar.

Currency experts claim that the dollar index has declined in the early morning session of Monday due to widespread rumours that the ECB may issue a 25 to 50 basis point interest rate hike.

Experts in currency say that because there is a lot of speculation that the ECB would issue a 25 to 50 basis point interest rate hike on Monday morning, the dollar index has dropped.

According to them, the dollar index is expected to fall to 105 levels in the following two weeks if the ECB decides to increase interest rates by 50 basis points.

There is lots of speculation that the ECB will announce an interest rate increase of 25 to 50 basis points following its monetary policy meeting on July 21, 2022.

Dollar index that used to hover around 90 levels has suddenly jumped to the tune of 109.30 levels. So, the recent dip in the Indian rupee is because of the strength gained by the US dollar. 

If we compare Indian rupee with other major currencies, we would found that rupee has outperformed them by good margins.