Rupee at the time of writing this copy traded at 74.983 and has inched higher by 0.48 percent against the previous day's close. This is primarily on softening in the crude oil price as there is discovered more of stockpiles in the US.
Also, helping the domestic currency is the fall in the US dollar which has been lending its probable support to the domestic unit. Nonetheless limiting gains on the rupee have been foreign fund outflows as well as weakness in the domestic equities. The rupee in the previous session ended at 75.35 per US dollar.
At the interbank foreign exchange, the domestic unit opened strong at 75.10 against the US dollar and further strengthened to 75.09, showing a sharp gain of 26 paise against the previous close.
To be noted the domestic currency market was shut on Tuesday owing to the Id-E-Milad' holiday.
The dollar index, which gauges the greenback's strength against a basket of six currencies, slipped 0.06 per cent to 93.67.
Global oil benchmark Brent crude futures dipped 0.48 per cent to USD 84.67 per barrel.
Foreign institutional investors have been net sellers in the capital market on Tuesday, as they offloaded shares worth Rs 505.79 crore, according to exchange data. Also, domestic equities witnessed selling pressure and Nifty slid from all time high levels claimed yesterday of 18600 points, declined to 18,300 levels.