Rupee Jumps 24ps To 86.81/$

Mumbai: The rupee appreciated 24paise to close at 86.81against the US dollar on Monday on positive domestic equities and weakness of the American currency in the overseas market. Forex traders said the rupee traded with a slight positive bias on weakness in the US dollar and positive global markets.

However, surge in crude oil prices capped sharp gains for the local unit. At the interbank foreign exchange, the rupee opened at 86.90 then touched an intraday high of 86.76 and a low of 86.90 against the greenback. The unit ended the session at 86.81 against the dollar, registering a gain of 24paise from its previous closing level.

On Thursday, the rupee surged 17paise to settle at 87.05 against the US dollar. Forex, stock markets were closed on Friday on the occasion of Holi festival. “We expect the rupee to trade with a slight positive bias on weakness in the US dollar and positive global markets. However, the ongoing trade tariff issue and outflows by foreign investors may cap sharp upside,” Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.11 per cent lower at 103.60. Brent crude, the global oil benchmark, rose 0.92 per cent to $71.23 per barrel in futures trade.