Mumbai, July 12 : The Indian rupee made a gain of 16 paise, reaching 82.25 against the US dollar in early trade on Wednesday. This positive movement was supported by the weakness of the American currency in the overseas market and steady inflow of foreign funds, which boosted investor sentiment. However, the surge in crude oil prices limited significant gains for the local unit, according to forex traders.
Starting at 82.29 at the interbank foreign exchange, the domestic currency reached a high of 82.25 against the US dollar, marking an increase of 16 paise compared to the previous close of 82.41 on Tuesday. Forex traders explained that the rupee benefited from the softness in the US dollar and consistent foreign institutional investor (FII) inflows. However, concerns remain regarding the impact of rising crude oil prices on the rupee’s strength, as a sharp surge could restrict its gains.
The dollar index, which measures the strength of the greenback against a basket of six currencies, declined by 0.30 percent to 101.42. Meanwhile, Brent crude futures, the global oil benchmark, rose by 0.20 percent to USD 79.56 per barrel. Investors are eagerly awaiting key inflation data releases from both the US and India for further guidance.
In the domestic equity market, the 30-share BSE Sensex was trading 40.49 points or 0.06 percent higher at 65,658.33, while the broader NSE Nifty advanced 5.80 points or 0.03 percent to 19,445.20. Foreign institutional investors (FIIs) remained net buyers in the capital markets on Tuesday, having purchased shares worth Rs 1,197.38 crore, as per exchange data.
