Rupee rises 5 paise to 95.77 against US dollar during early trade | Finance News
The rupee appreciated by 5 paise to 95.77 against the US dollar in early trade on Wednesday, staying firm for the fourth consecutive day amid a weak American currency and lower crude oil prices.
The local currency also found support from positive domestic equity market sentiment after foreign institutional investors turned to buying Indian stocks, according to forex traders.
At the interbank foreign exchange, the rupee opened at 95.70 and slipped to 95.77 against the greenback, registering a gain of 5 paise from its previous close.
The Indian currency settled 17 paise higher at 95.82 against the US dollar on Tuesday, after gaining 74 paise in the previous two back-to-back sessions.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading down 0.12 per cent at 101.14, ahead of the Federal Reserve monetary policy announcements.
Brent crude futures, the global oil benchmark, were trading 4.27 per cent higher but remained lower at USD 87.68 per barrel.
According to analysts, even as mediators tried to get the US and Iran back to negotiations and toward a ceasefire, crude oil prices rose overnight as the brief pause in fighting was shattered after the US military said that Iran launched multiple ballistic missiles at American forces on Tuesday.
All Iranian missiles were successfully intercepted, US Central Command said in a statement, adding that US forces “remain vigilant and at a high state of readiness.”
On the domestic equity market front, Sensex climbed 682.57 points, or 0.89 per cent, to 77,448.49, while the Nifty was up 186.85 points, or 0.78 per cent, to 24,172.20.
Foreign Institutional Investors purchased equities worth Rs 755.33 crore on a net basis on Tuesday, according to exchange data.
