Rupee rises by 11 paise in early trade owing to easing crude prices

MUMBAI: The rupee appreciated by 11 paise to 69.80 against the US dollar in opening trade Tuesday, driven by positive opening in domestic equities and easing crude prices.

Forex dealers said, selling of the American currency by exporters and fall in crude oil prices supported the rupee.

However, foreign fund outflows weighed on the domestic currency.

The rupee opened strong at 69.82 at the interbank forex market then gained further ground to touch 69.80 per dollar amid positive opening in domestic equities, displaying gains of 11 paise against the greenback.

On Monday, the rupee had settled at 69.91 against the US dollar.

Forex traders said investors are waiting the outcome of the monetary policy of Federal Open Market Committee (FOMC), Bank of England and Bank of Japan, scheduled this week.

Foreign funds pulled out Rs 331.21 crore from the capital markets on a net basis Monday, provisional data showed.

The benchmark BSE Sensex was trading with gains of 74.25 points, or 0.19 per cent to quote at 39,035.04 while the NSE Nifty was trading at 11,683.60, up 11.45 points, or 0.10 per cent.

Meanwhile, Brent crude, the global benchmark, was trading at 60.90 per barrel lower by 0.07 per cent.