The rupee was trading in a narrow range against the US dollar during Tuesday’s morning session amid a weak US currency and a subdued trend in domestic equities.
Forex traders said the outflow of foreign funds also weighed on the local unit.
On the interbank exchange rate, the rupee opened at 81.95 against the dollar. It reached a high of 81.86 in first deals.
The rupee was settled at 81.92 against the US dollar on Monday.
Meanwhile, the dollar index, which measures the greenback’s strength against a basket of six currencies, was trading at 101.33, down 0.02 percent.
Global oil benchmark Brent oil futures fell 0.01 percent to USD 82.72 a barrel.
In the domestic stock market, BSE Sensex traded 4.41 points, or 0.01 percent, lower at 60,051.69, while the broader NSE Nifty fell 2.40 points, or 0.01 percent, to 17,741.00.
Foreign institutional investors were net sellers in the capital market on Monday as they sold shares worth Rs 412.27 crore, according to exchange data.
“Rupee will remain between 81.80 and 82.20 levels as RBI buys dollars at lower levels and inflows continue at higher levels to keep it well in the narrow range for now,” said Anil Kumar Bhansali, head of treasury at Finrex Treasury Advisors LLP, said.
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