Indian rupee appreciates 14 paise to 79.64 against US dollar

The rupee rose 14 paise to 79.64 against the dollar in opening trade on Monday, tracking Asian peers and as the US currency dropped from recent highs.

Also Read| Sensex slips 300 points, Nifty falls by 90 points in early trade

The domestic unit hit 79.64 against the dollar at the interbank foreign exchange, up 14 paise from its previous close, after starting the day at 79.70 against the dollar. The rupee fell 7 paise to settle at 79.78 versus the dollar on Friday.

Also Read| Dollar trades 1% below 20-year peak ahead of Federal Reserve meeting

The rupee opened slightly stronger as Asian equities are flat, the dollar index is at 109.80, US Treasury yields are at 3.45% and Asian currencies are slightly more robust than Friday closing, said Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors.

“The range for the day is expected to be 79.50 to 80 with a close watch on RBI as they try to maintain the 80 levels,” Bhansali added.

Also Read| Week ahead: US Fed interest rate decision to weigh on Sensex, Nifty

The dollar index, which measures the strength of the US currency against a basket of six currencies, increased 0.09% to 109.80.

The global oil benchmark, Brent crude futures, climbed 0.62% to USD 91.92 per barrel.

The Sensex was up 54.44 points, or 0.09%, at 58,895.23 in the domestic stock market. The Nifty advanced 23.45 points, or 0.13%, to 17,554.30.

Also Read| Week in review: Inflation fears, weak global cues drag Sensex, Nifty lower

According to exchange statistics, foreign institutional investors (FIIs) were net sellers in the capital markets on Friday, offloading shares worth Rs 3,260.05 crore.

The current fiscal year’s gross direct tax collections increased 30% to Rs 8.36 lakh crore until September 17 on stronger advance tax mop-up supported by the post-pandemic economic recovery, the finance ministry reported on Sunday.

Also Read| Oil prices rise due to weak dollar, supply fears

Meanwhile, the country’s foreign exchange reserves fell by USD 2.234 billion to USD 550.871 billion for the week ending September 9, according to the Reserve Bank of India (RBI).