The rupee gained 16 paise in early trade on Wednesday to 82.25 against the US dollar. On Tuesday, it closed at 82.41 against the USD.
The dollar index — which measures the American currency against the yen, the pound, the Canadian dollar, the Swedish krona, the Swiss franc and the euro — was last trading 0.36 percent down at 101.035.
Crude oil benchmarks were trading higher today. At the last count, Brent crude futures were trading 0.11 percent up at $79.49 per barrel, while WTI futures were trading 0.12 percent higher as well at $74.92 per barrel.
"The fundraising led by Indian corporates and banks will continue to attract foreign inflows keeping the overall biases for the USD-INR pair on the downside. The range is likely to get further concise with the bottom getting higher between 81.90-82.00 levels and the top forming near 82.80 levels," said Amit Pabari, the managing director of CR Forex Advisors.
On the global front, the DXY continues its slide lead-up to a key US inflation reading due later today and with the rising expectation of the Fed nearing the end of the current tightening cycle, Pabari said. "If the CPI comes softer than expected, the DXY slide could continue up till 100.50-100.80 levels where it is likely to take the support," he said.
Both Indian benchmark indices Sensex and Nifty 50 were trading flat around around 10.45am.
