The Indian rupee opened on a flat note and inched 4 paise higher to 74.43 against the U.S. dollar in early trade on July 28, ahead of the U.S. Fed decision later in the day.
Forex traders said the rupee is trading in a narrow range ahead of the monthly expiry and the U.S. Fed’s policy decision.
At the interbank foreign exchange, the domestic unit opened at 74.44 against the dollar, then inched higher to 74.43, registering a gain of 4 paise over its previous close.
On July 27, the rupee had settled at 74.47 against the U.S. dollar.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.04% up at 92.46.
“Investors could refrain themselves from taking large positions ahead of monthly expiry and Fed decision tonight,” Reliance Securities said in a research note.
The note further said that regional currencies were flat to marginally stronger against the dollar early Wednesday morning and could cap depreciation bias.
On the domestic equity market front, BSE Sensex was trading 318.40 points or 0.61% lower at 52,260.36, while the broader NSE Nifty declined 96.40 points or 0.61% to 15,650.05.
Meanwhile, foreign institutional investors were net sellers in the capital market on July 27 as they offloaded shares worth ₹1,459.08 crore, as per exchange data.
Global oil benchmark Brent crude futures advanced 0.47% to $74.83 per barrel.
