Rupee Closes Stronger Against Dollar

The Indian rupee closed stronger against the US dollar on Tuesday amid a marginal decline in the dollar index and crude oil prices.

The local currency appreciated 2 paise to close at Rs 83.31 against the US dollar, according to Bloomberg data. The currency closed at Rs 83.33 on Friday.

The rupee opened marginally stronger at Rs 83.30 while the dollar index hovered at 104.66, as markets continued to assess the data released last week, according to Ritesh Bhanshali, director, Mecklai Financial Service Ltd.

Indian rupee gained some more as we finished fourth phase of the elections yesterday, according to Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP. "Equity based flows kept rupee in a range of Rs 83.26-83.3675 during the day with upticks on dollar getting sold off."

Rupee could not break the barrier of 83.25 which is a strong support for the dollar in the current run, Bhansali said. "For tomorrow we expect a range of Rs 83.20-83.50 with no major data to guide the movement only flows will decide the direction."