Rupee Ends Flat Against U.S. Dollar

The Indian rupee ends flat on Tuesday ahead of the release of US inflation data that would give cues to the Fed policy stance.

The local currency closed flat at 82.77 against the U.S. Dollar, after opening at Rs 82.72. It closed at 82.76 on Monday, according to Cogencis data.

"Investors await US inflation data to shape their expectations of an easing cycle pace. The dollar index is seen finding decent support at 102.30 levels, while a break of 103.30 will open doors for 104+ levels," said Kunal Sodhani, vice president of Shinhan Bank.

"RBI partially or fully seems to have taken delivery for their swap. For dollar/rupee, Rs 82.64 will act as a support and Rs 82.90 as a resistance," he said.

"The RBI seems to have taken delivery of its swap due yesterday, thus increasing the reserves and rupee liquidity in the market with advance tax due on March 15. The exact position will be known by March 22 when the RBI releases forex reserves data for the week ended on March 15," said Anil Kumar Bhansali, head of Treasury and executive director at Finrex Treasury Advisors.