The Indian rupee surged by 77 paise to trade at 83.77 against the US dollar in early Friday trading, buoyed by steady foreign investment and encouraging domestic economic indicators.

According to forex analysts, the sharp uptick was largely supported by record GST collections of Rs 2.37 lakh crore in April—marking the highest ever monthly figure and signaling strong consumer demand and economic momentum. Additionally, positive cues from domestic equity markets, underpinned by foreign fund inflows, helped reinforce market confidence.

Despite the upbeat mood, traders remain cautious, pointing out that rising geopolitical tensions—particularly between India and Pakistan—could quickly erode recent gains, as seen in past conflict-driven market reactions.