The rupee advanced 20 paise to 65.30 against the dollar in early trade as the domestic equities remained firm. Also, the American currency found no favour with exporters and banks, who intensified their selling.

But the dollar’s increasing lure globally after US Fed Chair Janet Yellen’s speech alluding to rate hike and US President Donald Trump’s unveiling of tax overhaul plan had a sobering effect on the rupee, traders said.

A firm domestic equity markets markets lent support to the rupee.

Yesterday, the rupee had recovered from over a six-month low to end 22 paise higher at 65.50 despite a buoyant dollar overseas.

Meanwhile, the benchmark Sensex jumped 170.29 points or 0.54 per cent to 31,452.77 in trade.