Rupee up by 18 paise to 73.33 against US dollar in opening trade

At the interbank forex market, the local unit opened at 73.34 against the US dollar, then inched higher to 73.33, reflecting a rise of 18 paise over its last close. The local unit also touched a low of 73.41 in initial deals.

The Indian rupee advanced by 18 paise to 73.33 against the US dollar in opening trade on Monday supported by positive domestic equities.

The rupee started on a stronger note against the dollar supported by improved risk appetite in the global and regional markets and a weak dollar. (Representational Image)

At the interbank forex market, the local unit opened at 73.34 against the US dollar, then inched higher to 73.33, reflecting a rise of 18 paise over its last close. The local unit also touched a low of 73.41 in initial deals.

On Friday, the rupee had settled at 73.51 against the American currency.

The rupee started on a stronger note against the dollar supported by improved risk appetite in the global and regional markets and a weak dollar, Reliance Securities said in a research note.

However, the rise of Covid-19 cases in India and the likely presence of the Reserve Bank of India could cap gains, the note added.

After recording over four lakh fresh cases for four consecutive days, India witnessed a single-day rise of 3,66,161 Covid-19 cases on Monday, which pushed its tally to 2,26,62,575, according to the health ministry.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.05% to 90.27.

On the domestic equity market front, BSE Sensex was trading 286.91 points or 0.58% higher at 49,493.38, while the broader NSE Nifty rose 100.10 points or 0.68% to 14,923.25.

Foreign institutional investors were net sellers in the capital market on Friday as they offloaded shares worth ₹1,142.75 crore, as per exchange data.