Early on Tuesday, the rupee gained just 1 paisa vs the US dollar, with the strength of the US currency abroad and rising crude oil prices offsetting the good impact from local stocks.
The desire for safe haven assets, according to forex dealers, lifted the dollar. Nonetheless, at lower levels, the rupee was supported by a favorable trend in domestic stocks.
The rupee was trading at the interbank foreign exchange within a narrow range. With respect to the US dollar, the national currency opened the day at 83.26. It was up 1 paisa from the previous close in early trading, to 83.25 vs the US dollar.
The rupee saw flat trading on Monday, ending the day 1 paisa weaker at 83.26 against the US dollar.
“Amid general pressures like a stronger US DXY, higher US bond yields, rising oil prices amid Middle East tensions, and a shaky domestic equity market causing FPI outflow, the Indian rupee keeps juggling between 83.15-83.30 levels,” said Amit Pabari, MD of CR Forex Advisors.
In the meanwhile, the dollar index increased to 106.39, up 0.26 percent.
The benchmark for global oil, Brent crude futures, were up 0.41 percent at USD 87.81 a barrel.
The BSE Sensex increased 48.80 points, or 0.08 percent, to 64,161.45 on the domestic equities market. The NSE Nifty increased 19.158.60 points, or 0.09 percent.
