Indian rupee rises in early trade against UAE dirham

The Indian rupee appreciated eight paise to 81.25 against the US dollar (22.13 against the UAE dirham) in early trade on Monday supported by a weak dollar in the overseas market.

Forex traders said weak Indian equities weighed on the rupee and restricted the appreciation bias.

On Friday, the rupee had settled down by seven paise at 81.33 against the dollar.

At the Indian interbank foreign exchange, the rupee opened at 81.26 against the dollar, then gained further ground to touch 81.25, registering a rise of eight paise over its previous close.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.37 per cent to 104.15.

Brent crude futures, the global oil benchmark, advanced 1.05 per cent to $86.47 per barrel. In the Indian equity market, the 30-share BSE Sensex was trading 139.99 points or 0.22 per cent lower at 62,728.51.

The broader NSE Nifty fell 22.60 points or 0.12 per cent to 18,673.50.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday as they purchased shares worth Rs2.14 billion, according to exchange data.

• Indian rupee makes big gains against UAE dirham in early trade