MUMBAI: The rupee appreciated 10 paise to 82.21 against the US dollar on Tuesday as the US currency retreated from elevated levels.
Forex traders said significant inflows of foreign funds and falling crude oil prices also supported the local entity.
On the interbank FX market, the local unit opened at 82.22 against the US currency and has ranged between a high of 82.16 and a low of 82.29 in intraday trading.
Local units settled at 82.21 (prelim) and posted a 10 Paise rise from the previous close. On Monday, the rupee closed at 82.31 against the US currency.
The dollar index, which measures the greenback’s strength against a basket of six currencies, fell 0.14 percent to 102.28.
Global oil benchmark Brent crude futures fell 0.29 percent U.S. dollar 75.01 per barrel.
A weaker greenback, strong foreign money inflows and lower crude oil prices pushed the rupee higher after falling over the past three days, said Dilip Parmar, research analyst. HDFC Securities.
The local unit outperforms Asian currencies as the trade deficit narrows to a 21-month low.
Although the rupee performed better against Asian currencies, the range remained tight ahead of US debt ceiling negotiations. It is widely expected that no compromise will materialize and the current uncertainty will persist, making safe assets volatile.
Near term spot USDINR has resistance at 82.50 and support at 82.05.
In the domestic stock market, the 30-stock BSE Sensex fell 413.24 points, or 0.66 percent, to close at 61,932.47 points, and the broader NSE Nifty fell 112.35 points, or 0.61 percent, to 18,286.50 Points.
Foreign institutional investors (FIIs) were net buyers in the capital market on Monday, buying shares worth Rs.1,685.29 crore, according to stock market data.
Forex traders said significant inflows of foreign funds and falling crude oil prices also supported the local entity.
On the interbank FX market, the local unit opened at 82.22 against the US currency and has ranged between a high of 82.16 and a low of 82.29 in intraday trading.
Local units settled at 82.21 (prelim) and posted a 10 Paise rise from the previous close. On Monday, the rupee closed at 82.31 against the US currency.
The dollar index, which measures the greenback’s strength against a basket of six currencies, fell 0.14 percent to 102.28.
Global oil benchmark Brent crude futures fell 0.29 percent U.S. dollar 75.01 per barrel.
A weaker greenback, strong foreign money inflows and lower crude oil prices pushed the rupee higher after falling over the past three days, said Dilip Parmar, research analyst. HDFC Securities.
The local unit outperforms Asian currencies as the trade deficit narrows to a 21-month low.
Although the rupee performed better against Asian currencies, the range remained tight ahead of US debt ceiling negotiations. It is widely expected that no compromise will materialize and the current uncertainty will persist, making safe assets volatile.
Near term spot USDINR has resistance at 82.50 and support at 82.05.
In the domestic stock market, the 30-stock BSE Sensex fell 413.24 points, or 0.66 percent, to close at 61,932.47 points, and the broader NSE Nifty fell 112.35 points, or 0.61 percent, to 18,286.50 Points.
Foreign institutional investors (FIIs) were net buyers in the capital market on Monday, buying shares worth Rs.1,685.29 crore, according to stock market data.
