The rupee appreciated 4 paise to 81.75 against the US dollar in early trade on Friday, April 28, 2023 tracking a weaker American currency and foreign fund inflows.
Forex traders said the rupee traded in a narrow range as support in crude oil prices below $80 per barrel was negated by muted domestic equities.
At the interbank foreign exchange, the domestic unit opened at 81.77 against the dollar and then recovered to 81.75, registering a rise of 4 paise from its previous close.
On Thursday, the rupee had closed at 81.79 against the American currency.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.01 per cent to 101.51.
Global oil benchmark Brent crude futures rose 0.27 per cent to $78.58 a barrel.
Traders said investors are waiting for cues from the release of key domestic macroeconomic data.
Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors LLP, said, “The key data to be released are Eurozone GDP, BOJ Monetary Policy Statement, India Fiscal Deficit and FX Reserves, US Michigan Consumer Sentiment, US Personal Income and Core PCE Price Index. ” ,
In the domestic equity market, the 30-share BSE Sensex closed 62.14 points or 0.10 per cent lower at 60,587.24. The broader NSE Nifty fell 10.30 points, or 0.06 per cent, to 17,904.75.
Foreign institutional investors (FIIs) were net buyers in the capital market on Thursday as they bought shares worth Rs 1,652.95 crore, according to exchange data.