Dubai: The Indian rupee climbed to its highest value against the UAE dirham on Monday, as the US dollar weakened on speculations that the Federal Reserve will cease from raising interest rates.

The Asian currency traded at 18.87 per dirham and 69.3 per dollar as of 8:30am, the strongest level it has touched in nearly five months.

The rupee was valued at 19.05 per dirham last August 14 and slumped further to a record low of 20.24 in October.

ALSO READ:

There have been speculations that the US Federal Reserve will stop adjusting interest rates this year due to a looming global economic slowdown and this has caused the American currency to weaken against its peers.

Chart shows Indian rupee's performance over the past several months. Image Credit: Xe.com

On Monday, the euro advanced 0.22 per cent against the greenback, while the Australian dollar climbed 0.2 per cent and touched its highest level since December 20, according to Reuters. The American currency fell 0.41 per cent against the Japanese yen.