Indian rupee opened higher by 34 paise against the greenback on Friday, boosted by sluggish US dollar and weak oil prices.
At 09:10 AM, the rupee was trading at 70.52 a dollar, up 38 paise from its Thursday’s close of 70.90. The home currency opened at 70.56 and touched a high and a low of 70.52 and 70.59 a dollar, respectively.
The rupee depreciated by 44 paise to close at 70.90 against the US dollar on Thursday amid a strengthening greenback and sharp decline in equity markets.
But the sentiment turned positive today as the dollar struggled to recover against its key rivals in Asian trade.
Also fueling the risk appetite was weak oil prices, which were pulled down by OPEC's decision to delay a final decision on output cuts.
International Brent crude oil futures fell below $60 per barrel early in the session, trading at $59.50 per barrel at 0144 GMT, down 56 cents, or 0.9 percent from their last close.
India imports nearly 80 percent of its total oil needs and a fall in dollar help drive down the value of its imports.
Besides, fund inflows by foreign investors also supported the domestic unit. Foreign portfolio investors (FPIs) net bought shares worth Rs 72.47 crore Thursday, while domestic institutional investors (DIIs) offloaded equities to the tune of Rs 389.78 crore, provisional data showed.
In debt markets, the yields on the 10-year government bonds fell 0.34 percent to 7.40 percent after closing at 7.42 percent on Thursday. Bond yields and prices move in opposite directions.
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