Noida, Aug 20 (APAC Media): The rupee gained 17 paise to trade at 95.56 against the US dollar in early deals on Thursday, supported by a weaker greenback and gains in domestic equities.
At the interbank foreign exchange market, the rupee opened at 95.57 and moved to 95.56 against the US dollar, compared with its previous close of 95.73.
The dollar weakened after the US Treasury announced an increase in its purchases of longer-dated government bonds, putting pressure on US long-term yields and reducing the appeal of the greenback.
The dollar index, which gauges the strength of the US currency against a basket of six major currencies, was trading marginally lower at 98.82.
However, elevated crude oil prices capped gains in the Indian currency. Brent crude futures rose 0.32 per cent to USD 91.91 a barrel.
Market participants said the rupee could continue to find support from a weaker dollar and lower US yields, although high crude prices and global market volatility remain key risks.
On the domestic equity market, the BSE Sensex was trading 504.32 points, or 0.66 per cent, higher at 77,416.16, while the NSE Nifty advanced 118.85 points, or 0.49 per cent, to 24,198.55.
Foreign institutional investors were net buyers in the Indian equity market on Wednesday, purchasing shares worth Rs 407.99 crore, according to exchange data.
Analysts said the rupee’s immediate support was seen around the 95.30-95.50 levels, while sustained weakness in the dollar could provide further relief to the domestic currency.
–ENDS–
Disclaimer:Â This article is for informational purposes only and is based on publicly available information. APAC Media is not responsible for investment decisions or losses. Please conduct your own research or consult a financial adviser before investing.
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