Rupee rises 7 paise to 83.48 against US dollar in early trade

Rupee strengthens against dollar on fresh foreign capital inflow and positive equity market sentiment, despite crude oil price decline.

The rupee appreciated 7 paise to 83.48 against the U.S. dollar in early trade on Tuesday amid a fresh inflow of foreign capital and positive sentiment in the domestic equity markets.

Forex traders said the strengthening American currency weighed on the local unit though it found support due to downward movement in crude oil prices overseas.

At the interbank foreign exchange market, the local unit opened at 83.52 and gained further to 83.48 against the greenback, registering a rise of 7 paise from its previous close.

On Friday, the rupee settled 1 paisa lower at 83.55 against the U.S. dollar.

Forex markets were closed on Monday on account of Bakri Id.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 105.01, higher by 0.07 per cent.

Brent crude futures, the global oil benchmark, declined 0.13% to $84.14 per barrel.