Indian Rupee Opens Stronger, Gains 2 Paise To 91.62 Vs US Dollar
US grants temporary waiver for Indian refiners to buy Russian oil; weak equities and foreign fund outflows limit gains.
New Delhi, Mar 7: The rupee strengthened marginally by 2 paise to 91.62 against the US dollar in early trade on Friday, supported by easing concerns over global energy supply after the United States granted a temporary waiver allowing Indian refiners to purchase Russian oil.
Currency market participants said the move helped stabilise sentiment amid ongoing geopolitical tensions in West Asia. However, losses in domestic equities and continued foreign fund outflows capped further gains in the local currency.
The US administration announced a 30-day waiver permitting Indian refiners to continue purchasing Russian crude. US Treasury Secretary Scott Bessent said the temporary measure aims to ease pressure on global energy flows as tensions escalate in the region involving the US, Israel and Iran.
At the interbank foreign exchange market, the rupee opened at 91.64 the same level as its previous close before rising slightly to 91.62 against the American currency.
The domestic unit had rebounded by 41 paise to settle at 91.64 on Thursday, recovering part of the losses after slipping 97 paise during the previous two sessions.
Meanwhile, the dollar index, which measures the strength of the US currency against a basket of six major currencies, declined 0.37 per cent to 98.94.
In the commodities market, Brent crude, the international oil benchmark, slipped 1.05 per cent to USD 84.51 per barrel in futures trading.
On the domestic equity front, benchmark indices traded lower in early deals. The Sensex dropped 388.23 points, or 0.49 per cent, to 79,627.67, while the Nifty fell 118.30 points, or 0.48 per cent, to 24,647.60.
Exchange data showed that foreign institutional investors (FIIs) remained net sellers, offloading equities worth ₹3,752.52 crore on Thursday, adding pressure on the domestic currency.
