(Riya Singh, Intern Journalist): In opening trade on Wednesday, the rupee appreciated 7 paise to 74.69 against the US dollar, backed by strong domestic equities and continued foreign fund inflows.
The domestic unit opened at 74.71 against the US dollar at the interbank forex market, gained further ground, and touched 74.69 against the US dollar, recording an increase of 7 paise over its previous closure. It had closed on Tuesday at 74.76 against the US dollar.
“Asian currencies have started with gains against the US dollar this morning and could lend support,” Reliance Securities said adding that “RBI could be present in the markets to curb volatility”.
Meanwhile, the dollar index, which gauges the power of the greenback against a six-currency basket, rose to 92.34 by 0.08 percent.
The 30-share BSE benchmark Sensex exchanged 161.08 points higher at 38,689.40 on the domestic equity market front and broader NSE Nifty advanced 47.30 points to 11,432.65.
According to provisional exchange data, foreign institutional investors were net buyers in the capital market as they acquired shares worth Rs 1,134.57 crore on Tuesday.
The global oil benchmark, Brent crude futures, has slipped 0.75 percent to USD 45.12 per barrel.