Forex dealers said fresh inflow of foreign funds and weakness in the dollar against other currencies overseas supported the rupee.
However, a lower opening of domestic equities and a widening trade deficit to almost a three-year high capped the gains.
Yesterday, the rupee had ended flat to close at 65.42 against the US currency due to fag-end demand for the greenback amid ballooning trade deficit.
Meanwhile, the benchmark BSE Sensex fell by 113 points, or 0.34 per cent, at 32,828.87 in early session today.
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