The rupee had closed at 77.66 against the US dollar in the previous session.
The rupee had closed at 77.66 against the US dollar in the previous session.
The rupee rose by 4 paise to 77.62 against the US dollar in early trade on Monday on support of a weak US currency in overseas markets.
However, sluggish domestic equities, higher crude oil prices and persistent foreign fund outflow restrained the rupee’s growth, forex traders said.
At the interbank forex, the rupee opened slightly stronger at 77.65 against the US dollar and gained further momentum to bid at 77.62, registering a rise of 4 paise from the previous close.
The rupee had closed at 77.66 against the US dollar in the previous session.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.04% lower at 102.10.
Global oil benchmark Brent crude futures rose 0.79% to $120.66 per barrel.
On the domestic equity market front, the 30-share Sensex was trading 106.93 points or 0.19% lower at 55,662.30, while the broader NSE Nifty fell 26.35 points or 0.16% to 16,557.95.
Foreign institutional investors were net sellers in the capital markets on Friday as they sold shares worth Rs 3,770.51 crore, according to stock exchange data.
With inflation rising, the Reserve Bank of India (RBI) is likely to hike the benchmark lending rate during its monetary policy review meeting this week.
The central bank is likely to raise rates by at least 35 basis points (bps) on top of the 40 bps hike that took effect last month after the off-cycle Monetary Policy Committee (MPC) meeting.