Mumbai: The rupee appreciated 27 paise to 79.68 against the US dollar in opening trade Thursday, tracking its Asian peers, and easing crude oil prices.
At the interbank foreign exchange, the domestic unit opened at 79.72 against the dollar, then touched 79.68 in initial deals, registering a gain of 27 paise over its previous close.
On Wednesday, the rupee declined by 13 paise to close at 79.95 against the US currency.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.05 per cent to 109.78.
Brent crude futures, the global oil benchmark, advanced 1.06 per cent to USD 88.93 per barrel.
The rupee opened on a positive note as crude oil fell below USD 90 per barrel, the dollar index eased to 109.78 and Asian currencies gained slightly, said Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors.
Forex traders said the currency could weaken further tracking the strength of the dollar ahead of US Federal Reserve Chair Jerome Powell’s speech and European Central Bank (ECB) meeting.
In the equity market, the 30-share BSE Sensex was trading 506.4 points or 0.86 per cent up at 59,535.31. Similarly, the broader NSE Nifty rose 148.90 points or 0.84 per cent to 17,773.30.
Foreign institutional investors (FIIs) remained net buyers in the capital markets, as they purchased shares worth Rs 758.37 crore Wednesday, according to provisional data.