Dollar Touched To One-Year Low of 100.78

The U.S. dollar plunged to a one-year low against a basket of currencies on Friday. The rupee appreciated by 27 paise to close at 81.84 (provisional) against the US dollar on Thursday, trailing against the broad weakness of the American currency, as per media reports.

Rupee touched a high of 81.83 and a low of 82.01 against the dollar. On Wednesday, the rupee closed at 82.11 against the US currency.

While domestic currency, at the interbank foreign exchange market, opened at 81.99 against the US currency and finally closed at 81.84 against US dollars registering a gain of 27 paise.

Futher data from the U.S. Labor Department on Thursday showed the producer price index (PPI) had fallen the most in nearly three years last month, the number was shared after a day of inflation data point hinting to moderation in consumer prices.

The U.S. dollar plunged to a one-year low against a basket of currencies on Friday, while the euro hit a one-year peak, is above dollar by 0.60% and rupee appreciated as traders propelling up expectations of ending to the U.S. Federal Reserve's rate-hike cycle on signs of cooling inflation.

On Friday the U.S dollar index, which measures the currency against six major peers, plunged to approximately to a one-year low of 100.78. Previously it down by 0.15% at 100.82, and trailed of to a weekly decline of more than 1%, its steepest since January.

Besides, euro, the British pound hit a 10-month high of 1.2545USD. Money markets are factoring in a 69% chance that the Fed will decide to increase interest rates by 25 basis points in May.

Sudden rise in Chinese exports in March by 14.8% from the same month a year earlier, surprised economists who had estimated 7.0% fall, indicates waning of inflation.

Even Australia's robust employment data supported Australian dollar at around 0.6691USD on Friday, having surged 1.38% in the previous session on the back of the data releases. While the New Zealand dollar similarly rose to 1.27% to 0.6213 per dollar. Also Japanese currency, yen rose more than 0.48% to 133.13 per dollar, while the offshore yuan gained 0.3% to 6.8495 per dollar.