New Delhi, May 5 -- The sentiment for the Indian Rupee (INR) has turned more favourable in recent weeks, according to a report by Union Bank of India.

The report noted that despite ongoing global uncertainties and volatility, the Dollar Index (DXY) is expected to cool down and consolidate at current levels.

It said, "We still claim buy on dips for USDINR but we believe that the sentiment for INR has turned more favourable in recent weeks......... probably a breach of current technical level and any news related to the probable escalation in the border will hurt Rupee sentiment."

The report also highlighted that in the foreign exchange market, the Dollar-Rupee (USD/INR) pair has shown adherence to previous technical levels. On April 30,...