Rupee recovers from record low, rises 14 paise against U.S. dollar in early trade

On Tuesday, the rupee declined by 17 paise to close at its all-time low of 77.71 against the U.S. currency

Recovering from its record low, the rupee rose by 14 paise to 77.57 against the U.S. dollar in early morning trade on Wednesday.

At the interbank foreign exchange, the rupee opened at 77.58 against the American dollar, then inched higher to quote at 77.57, registering a rise of 14 paise from the last close.

On Tuesday, the rupee declined by 17 paise to close at its all-time low of 77.71 against the U.S. currency as surging U.S. bond yields dampened the appeal of riskier assets.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.17% higher at 101.92.

Global oil benchmark Brent crude futures rose 0.96% to $122.84 per barrel.

"The Indian GDP came as expected at 4.1%, while the fiscal deficit for 2021-22 was at 6.7% of GDP against the budgeted 6.9% indicating a robust tax collection," said Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors.

Mr. Bhansali further said that the range for the rupee is still between 77.40 and 77.80 with oil companies and foreign portfolio investors (FPI) standing at one end and the Reserve Bank of India (RBI) at the other end.