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The Indian rupee appreciated by 10 paise to 73.20 against the US dollar (19.94 against UAE dirham) in opening trade on Tuesday supported by positive domestic equities and strong Asian currencies.
At the interbank forex market, the local unit opened at 73.22 against the US dollar, then inched higher to 73.20 against the greenback, registering a rise of 10 paise over its previous close.
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On Monday, the rupee had settled at 73.30 against the greenback.
"However, appreciation bias could be capped amid concerns that rising Covid-19 cases and subsequent lockdowns in some states may hurt economic recovery and cause foreign outflows," Reliance Securities said in a research note.
Most of the Asian currencies were trading stronger on Tuesday morning and could lift sentiments, the note added.
While Pakistani rupee lost against the dirham on Tuesday morning, falling from 41.62 on Monday evening to 41.71 on Tuesday morning, according to xe.com.
Pakistani currency has been steady over the past few days after a rally witnessed last week following a strong inflow of foreign currencies into the South Asian nation.
-waheedabbas@khaleejtimes.com
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