Rupee trades higher at 75.14 per dollar

Rupee trades higher at 75.14 per dollar

Indian rupee erased early losses and trading higher at 75.14 per dollar, amid buying seen in the domestic equity market.

It opened marginally lower at 75.23 per dollar versus Thursday's close of 75.19.

At 11:10 IST, the Sensex was up 178.68 points or 0.49% at 36650.36, and the Nifty was up 62.50 points or 0.58% at 10802.50.

"Rupee may pare gains by late trades Thursday on likely overseas inflows into local stocks amid selling by exporters. Some FII inflows are there in stocks and may limit sharp gains in spot USD/INR. Also, exporters are there as spot rose above Rs 75.20/$1," said Jateen Trivedi, Senior Research Analyst at LKP Securities.

"Expect spot pair to trade in Rs 75.15-75.30/$1 range for the rest of the day. And overall the pair is taking support at 74.70-74.85. With resistance at 75.30-75.55. Broad range remains between 74.70-75.55," he added.

The dollar held onto gains against most currencies as worries that a resurgence in the coronavirus is starting to curb economic activity drew safe-haven flows into the U.S. currency.

Oil prices were unchanged on Friday, with trading marked by growing uncertainty about global recovery in fuel demand as new COVID-19 cases surge in several countries just as major producers get set to loosen production curbs.
On the back of no clear direction in the Dollar index and selling seen in USD-INR from 75.5 levels, we feel the rupee would appreciate and move towards 75 levels in coming days, said ICICIdirect.

The dollar-rupee contract on the NSE was at 75.32 in the last session. The open interest fell 3.7% in the last session, it added.