Rupee rises 8 paise to 83.37 against U.S. dollar in early trade

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading higher by 0.15% at 106.06, ahead of the crucial U.S. inflation reading this evening.

The rupee appreciated 8 paise to 83.37 against the U.S. dollar in early trade on June 28, supported by a positive trend in domestic equities and foreign fund inflows.

Forex traders said the strength of the American currency in the overseas market and elevated crude oil prices weighed on the local unit and restricted the appreciation bias.

At the interbank foreign exchange market, the local unit opened at 83.42 and gained further ground to trade at 83.37 against the greenback in initial deals, registering an increase of 8 paise from its previous closing level.

On Thursday, the rupee appreciated 12 paise to settle at 83.45 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading higher by 0.15% at 106.06, ahead of the crucial U.S. inflation reading this evening.

Brent crude futures, the global oil benchmark, were trading 0.47% higher at $86.80 per barrel, as fears of supply disruptions from Russia and the Middle East on continued war offset slowing demand.

On Thursday, there were good inflows taking the rupee higher from Wednesday's closing level, said Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP.