The Indian rupee appreciated 21 paise to 86.49 against the US dollar, recovering from a historic low. This was supported by easing crude oil prices and positive Consumer Price Index inflation data at 5.22% for December. Domestic equity markets showed recovery, with the Sensex rising 364.90 points. However, sustained foreign institutional investor outflows of ₹4,892.84 crore remain a concern. Investors may anticipate potential rate cuts by the Reserve Bank of India, aiding market sentiment.
