Rupee rises 56 paise to 74.60 against US dollar in early trade

The Indian rupee appreciated by 56 paise to 74.60 against the US dollar in early trade on Friday tracking positive opening in domestic equities, as investors awaited positive cues from the Reserve Bank of India to tide through the coronavirus crisis.

Forex traders said, the domestic unit was trading higher ahead of the media briefing by RBI Governor Shaktikanta Das.

Besides, the announcement of the various welfare measures by Finance Minister Nirmala Sitharaman on Thursday also supported investor sentiments.

At the interbank foreign exchange the rupee opened at 74.60, registering a rise of 56 paise over its previous close.

On Thursday, rupee had settled at 75.16 against the US dollar.

The assurance of domestic stimulus by the government boosted investor sentiment. However, there are concerns over the impact of coronavirus outbreak on the domestic as well as global economy.

The number of deaths around the world linked to the new coronavirus has crossed over 24,000. In India, nearly 700 coronavirus cases have been reported so far.

Meanwhile, domestic bourses opened on a positive note on Friday with benchmark indices Sensex trading 836.80 points higher at 30,783.57 and Nifty up by 323.60 points at 8,641.45.

Foreign institutional investors (FIIs) remained net sellers in the capital market, as they sold equity shares worth Rs 484.78 crore on Thursday, according to provisional exchange data.

Brent crude futures, the global oil benchmark, rose 0.65 per cent to USD 26.51 per barrel.

Meanwhile, the dollar index, which gauges the greenback's strength against the basket of six currencies was trading 0.37 per cent lower at 98.98.

The 10-year government bond yield was at 6.13 per cent in morning trade.