Mumbai: The rupee surged 15 paise to 74.77 against the US dollar in opening trade on Friday on expectation of better inflows into high profile initial public offerings (IPOs).
At the interbank foreign exchange, the rupee opened strong at 74.78 against the dollar and inched further to 74.77 in early deals, a rise of 15 paise over its previous close.
On Wednesday, the rupee had settled at 74.92 against the US dollar.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.08 per cent to 93.41.
Global oil benchmark Brent crude futures rose 0.23 per cent to USD 84.51 per barrel.
On the domestic equity market front, BSE Sensex was trading 2.72 points higher at 59,987.42, while the broader NSE Nifty advanced 9.50 points or 0.05 per cent to 17,866.75.
Foreign institutional investors were net sellers in the capital market Thursday as they offloaded shares worth Rs 3,818.51 crore, as per exchange data.
According to Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors, rupee moving in a range of 74.70 – 75.20. The US data was lower than expectation yesterday with GDP coming at 2 per cent against expectation of 2.7 per cent.
“Rupee is likely to remain in 74.60/75.00 range as NYKKA and Policy Bazaar inflows hit the market. Exporters to sell only near to 75.00 and importers to buy near 74.70 for their near term exposures,” Bhansali said.