MUMBAI: The Indian rupee opened on a stronger note on Tuesday, rising by 11 paise to settle at 85.93 against the US dollar in early trade, even as domestic equity markets showed a weak opening trend.
Despite the cautious sentiment prevailing in the domestic markets, the rupee managed to edge higher, supported by stable crude oil prices and positive cues from the broader global forex market.
Analysts attribute the rupee’s upward movement to a combination of foreign fund inflows and a mildly soft dollar index. Market participants, however, remain watchful amid continued geopolitical concerns and potential US Federal Reserve signals on interest rates.
The performance of the rupee will likely remain influenced by upcoming economic data and movement in global crude prices in the near term.
