Rupee Settles 26ps Higher At 86.55/$

Mumbai: The rupee appreciated for the third consecutive session and registered gains of 26paise to close at 86.55 against the US dollar on Tuesday, amid positive domestic equity markets and a weak American currency. Forex traders said the US dollar declined on disappointing economic data from the US. Moreover, the strength of the Asian currencies also supported the rupee. However, a surge in crude oil prices capped the gains. At the interbank foreign exchange, the rupee witnessed high volatility. It opened at 86.71 then touched the intraday high of 86.54 and the low of 86.78 against the greenback. The unit ended the session at 86.55 against the dollar, registering a gain of 26paise from its previous closing level. On Monday, the rupee had appreciated 24paise to close at 86.81 against the US dollar. On Thursday, the rupee surged 17paise to settle at 87.05 against the US dollar. Forex market was closed on Friday on the occasion of Holi festival. This is the third straight session of gain for the rupee, during which it has added 67paise. “We expect the rupee to trade with a positive bias on positive global equities and weak American currency. However, rising crude oil prices and FII outflows may cap sharp upside. Traders may take cues from industrial production and housing sector data from the US,” said Anuj Choudhary – Research Analyst at Mirae Asset Sharekhan.