The rupee held steady at 83.53 against the US dollar amidst stable crude oil prices and gains in domestic stocks during early trade on Friday.

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Starting unchanged at 83.53 against the US dollar at the interbank foreign exchange market, the rupee remained within a narrow band of 83.50 to 83.54 during morning transactions.

As of 0935 hrs, the rupee maintained its flat position against the US dollar, trading at 83.53.

Forex dealers said the impact of firm crude oil prices was offset by overnight losses in the US dollar index and early gains in the domestic equity markets.

The US dollar index eased on Thursday after softer US inflation data raised hopes of rate cut by the US Fed by September.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.05 per cent lower at 104.49.

Brent crude futures, the global oil benchmark, were trading 0.20 per cent higher at USD 85.60 per barrel.

Domestic equity markets were trading higher in early session on Friday. Benchmark Sensex climbed 226.11 points to 80,123.45 while broader Nifty was up 82.1 points to 24,398.05.

Foreign institutional investors (FIIs) were net sellers in the capital markets on Thursday as they offloaded shares worth Rs 1,137.01 crore, according to exchange data.

(with agency inputs)