The rupee began trading at 88.11 against the US dollar at the interbank foreign exchange, and it gradually increased to 88.10, up 5 paise from its closing price.
FII inflows and a declining value of the US dollar relative to other currencies helped the rupee gain 5 paise to 88.10 versus the US dollar in early trading on Wednesday.
However, forex brokers said that a little increase in the price of crude oil globally prevented the local currency from seeing more significant increases.
The rupee began trading at 88.11 against the US dollar at the interbank foreign exchange, and it gradually increased to 88.10, up 5 paise from its closing price.
On Tuesday, the rupee retreated its initial gains and fell 6 paise versus the US dollar, returning to its all-time low of 88.15. On Friday, the rupee touched an all-time intraday low of 88.38 versus the US dollar but rebounded to settle at 88.09, up by 3 paise.
FPIs bought equities on Tuesday.
US President Donald Trump tweeted that the US and India are still negotiating to remove trade barriers.
Trump expressed his interest in speaking with Prime Minister Narendra Modi.
The US dollar weakened.
Dollar Index fell 0.45%, reaching 97.90.
This reflects the dollar’s value against a basket of six major currencies.
In futures trading, Brent crude, the world’s benchmark for oil, was up 0.86 percent at USD 66.96 a barrel.
“As Israel struck Hamas leadership in Qatar, heightening fears about possible supply disruptions in the area, Brent oil prices climbed… making a gain of 0.86 percent,” Bhansali said.
In the local stock market:
Sensex: +363.39 points (+0.45%) → 81,464.71
Nifty: +117.60 points (+0.47%) → 24,986.20
Market data indicates that foreign institutional investors spent a total of Rs 2,050.46 crore on equities on Tuesday.