Rupee opens higher against dollar

The rupee today opened weak against the US currency, but soon recovered to Rs 46.0700/0800 per dollar on fresh dollar sales.

The rupee on Wednesday opened weak against the US currency, but soon recovered to Rs 46.0700/0800 per dollar on fresh dollar sales.

HT Image

In restricted trading at the Interbank Foreign Exchange (Forex) market here, the Indian unit opened weak at Rs 46.0850/0950 per dollar as compared to Rs 46.0750/0850 the previous day. Thereafter, it recovered to Rs 46.0700/0800, higher than the previous close.

The early weakness in rupee was due to increased dollar demand after the US currency firmed up against other world currencies.

However, fresh dollar sales by oil companies after crude oil prices fell to six-month low in New York on Tuesday boosted the rupee sentiments, dealers said.

Oil prices fell to fresh six-month lows as New York's main contract, light sweet crude for delivery in October, fell by $2.14 to close at $61.66 per barrel on Tuesday, the lowest since March 21 as softer-than-expected US economic data helped accelerate the recent selloff.

Meanwhile, the rupee was quoted weak against the single European unit at Rs 58.43/45 per euro as compared to the previous close of Rs 58.34/36.