The rupee appreciated 31 paise to 73.14 against the dollar at the interbank foreign exchange market today as crude prices fell to a seven-month low in the global market.
According to forex dealers, fresh foreign fund inflows, dollar selling by banks and exporters and the dollar’s weakness against other currencies overseas supported the rupee. Also, a strong equity market aided the uptrend.
Brent crude, the international benchmark, dropped 3.48 per cent to trade at a seven-month low of $ 72.65 per barrel on higher supply from world’s major producers.
The rupee had gained 50 paise to close at 73.45 against the US dollar on Thursday, posting its biggest single-session spurt in three weeks on increased selling of the greenback by exporters, softening crude oil prices and upbeat economic data.
As per provisional data, foreign institutional investors made fresh purchases worth Rs 348.75 crore on Thursday. Meanwhile, the Sensex rose 271.38 points, 0.81 per cent, to 34,703.35 in early trade.