Oil prices fell for a second day on Wednesday, extending big losses from the previous session amid rising concerns about fuel demand as the coronavirus pandemic worsens.
Indian rupee ended with marginal gains at 73.76 per dollar, amid buying seen in the domestic equity market.
Rupee opened flat at 73.82 per dollar against previous close of 73.82 and trade in the range of 73.69-73.86.
At 14:36 IST, the Sensex was up 205.62 points or 0.54% at 38178.84, and the Nifty was up 56 points or 0.50% at 11278.40.
Oil prices extended losses on Wednesday on worries that rising coronavirus cases heading into the northern winter would lead to further restrictions on activity and curb demand for fuel.
The dollar edged down in Asian trade on Wednesday as investors counted down to the first U.S. presidential debate between President Donald Trump and Democratic challenger Joe Biden.
The dollar is expected to resume its downtrend as US House of Representatives Speaker Nancy Pelosi said that Democratic lawmakers were unveiling a new $2.2 trillion fiscal stimulus bill, said ICICIdirect.
The dollar-rupee October contract on the NSE was at 73.99 in the last session. The open interest in the October series declined 0.63% while it increased 7.79% in the next series, it added.Gold dipped on Wednesday as the dollar ticked up after Republican President Donald Trump and Democratic rival Joe Biden sparred in the first U.S. presidential debate ahead of the Nov. 3 election.