Rupee Vs Dollar: Rupee surges 18 paise to close at 76.43 against US dollar

The rupee on Friday closed 18 paise higher at 76.43 (provisional) against the dollar, owing to a weaker greenback overseas and fresh foreign fund inflows.

The domestic currency opened at 76.62 against the US dollar on the interbank exchange market. During the day, it fluctuated between 76.63 and 76.29.

The rupee finally closed at 76.43, up 18 paise from its previous closing, said PTI.

On Thursday, the rupee had settled at 76.61 against the US currency.

According to PTI, the rupee appreciated the expectation of better inflows, a retreat in the dollar index, and a rebound in risk assets, according to HDFC Securities Research Analyst Dilip Parmar.

"Market participants are expecting good inflows in LIC IPO after the recent oversubscription of Campus Activewear," Parmar said.

Furthermore, he added, the rupee has shown resilience among Asian currencies as a result of Central Bank action and inflows, PTI said.

"Dollar index is due for some consolidation under 104, given the technical indicators are registering some overbought readings. Bidders are waiting for a dip and positioning for a rally on the back of hawkish Federal Reserves and policy divergence with other developed nations," he noted.

In the meantime, the dollar index, which measures the strength of the greenback against a basket of six currencies, was down 0.57 percent at 103.03.

The 30-share BSE Sensex closed 460.19 points or 0.80 percent lower at 57,060.87 on the domestic equity market front, while the broader NSE Nifty dropped 142.50 points or 0.83 percent to 17,102.55, said PTI.

The global oil benchmark, Brent crude futures, rose 1.78 percent to USD 109.51 per barrel.

According to stock exchange data, foreign institutional investors remained net buyers in the capital market on Thursday, purchasing shares worth Rs 743.22 crore.