Rupee settles 10 paise higher at 71.30 against USD on easing crude prices, weak dollar

The rupee on Monday rose by 10 paise to close at 71.30 (provisional) against the US dollar amid easing crude oil prices and weakening of the American currency in the overseas market.

Forex traders said while weak dollar and easing crude oil prices supported the rupee, heavy selling in domestic equities weighed on the local unit and restricted the upmove.

At the interbank foreign exchange market, the local currency opened on a positive note at 71.36. During the day, it saw a high of 71.28 and a low of 71.43.

The Indian currency settled higher by 10 paise at 71.30, according to provisional market data. The domestic unit had settled at 71.40 against the American currency on Friday.

"Indian rupee gained on lower crude oil price and dollar inflows related to DMart's QIP. Rupee remained resilient to higher dollar index amid strong foreign fund inflows in equity market," said V K Sharma, Head PCG and Capital Markets Strategy, HDFC Securities.

Sharma further said that "broadly, local currency is consolidating in the range of 72 to 71 a dollar". CPI and IIP would be keenly watched local data point this week, he added.