New Delhi, September 3 (HS): The Indian rupee edged higher on Wednesday, buoyed by falling crude oil prices, a weaker US dollar index, and sustained buying by foreign institutional investors (FIIs) in the stock market. Positive sentiment in the currency market and higher dollar inflows supported the domestic currency throughout the day.

The rupee closed at ₹88.07 (provisional) per dollar, marking a gain of 10 paise from the previous close of ₹88.17 on Monday. The day’s trading began on a firm note, with the rupee opening 2 paise stronger at ₹88.15.

Although the Indian currency briefly slipped to ₹88.19 after the opening, renewed foreign investor inflows into equities and a dip in global crude oil prices strengthened the rupee, which touched an intraday high of ₹87.98, a rise of 19 paise. Later in the session, moderate demand for the greenback trimmed some gains, but the rupee still ended stronger on the day.

According to Ravi Chander Khurana, CEO of Khurana Securities and Financial Services, the rupee drew support from easing oil prices and the softening dollar index. In global markets, Brent crude fell 1.91% to $67.82 per barrel, while West Texas Intermediate (WTI) dropped 2.33% to $64.13 per barrel. The US dollar index also slipped 0.15% to 98.25, further aiding the rupee.

On the cross-currency front, the rupee posted mixed results. It strengthened against the British pound, closing 5.63 paise higher at ₹118.07 (provisional), but lost ground against the euro, ending 7.27 paise weaker at ₹102.67 (provisional).

Market participants said the rupee’s near-term trajectory will hinge on crude oil trends, global risk appetite, and foreign capital flows.

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Hindusthan Samachar / Jun Sarkar