The Indian rupee rose 14 paise to 73.81 against the US dollar (20.11 versus dirham) on Tuesday morning after gains in the equity markets and improved investors' sentiments following a decline in new Covid-19 cases over the past few days.
The India rupee opened at 73.83 at the interbank forex market then strengthened to 73.81, gaining 14 paise from its Monday’s close.
The Bombay Stock Exchange (BSE) opened 0.13 per cent higher at 48,781 points in early trade, while the NSE Nifty rose 0.08 per cent to 14,646 points on Tuesday morning.
Foreign institutional investors (FIIs) were net sellers in the capital market on Monday, as they sold shares worth Rs 2,289.46 crore, as per exchange data.
India’s total Covid-19 cases crossed 20 million (m) after 3,57,229 new infections were reported on Monday. The cumulative death toll due to Covid-19 rose to 2,22,408 after 3,449 new fatalities were reported, the Union Ministry of Health & Family Welfare (MoH&FW) said on Tuesday.
Benchmark S&P 500 index rises 1.8 per cent
Spot gold was trading at $1,785.82 per ounce at 9.20am UAE time
Spot gold was trading at $1,771.62 per ounce, down by 0.2 per cent at 9.15am
Analysts and forex experts caution that the political instability will continue to weigh on the rupee's future and may slow the recovery pace in coming days