Rupee gains 20 paise against US dollar in early trade

The rupee strengthened by 20 paise to 66.55 against the dollar in early trade today on increased selling of the US currency by exporters and banks amidst sustained foreign fund inflows. Besides, weakness in the dollar against other currencies following the Fed’s decision to scale back its forecasts on hiking borrowing costs, supported the rupee.

Moreover, a higher opening in the domestic equity market influenced the domestic unit, according to forex dealers.

The rupee had closed at an over two-month high of 66.75 by gaining 47 paise in yesterday’s trade on persistent selling of the American currency by banks and exporters after the US Fed indicated a slower pace on rate hike.

Meanwhile, the benchmark BSE Sensex climbed 101.61 points, or 0.41 per cent, at 24,778.98 in early trade today.