On December 2, the rupee ended 8 paise higher at 71.66 against the US dollar.
The Indian rupee erased morning losses and trading higher at 71.60 per dollar, with Indian domestic indices are trading at day's low level.
It opened lower at 71.70 per dollar on Tuesday versus previous close 71.66 per dollar.
On December 2, the rupee ended 8 paise higher at 71.66 against the US dollar amid participants hoping Reserve Bank will go for another rate cut in the ensuing RBI policy review meet this week.
The dollar traded near a one-week low versus the yen on Tuesday and near the lowest in almost two weeks against the euro, on concern about weak US manufacturing data and signs of new fronts in the US trade war.
Oil prices rose for a second day as Saudi Arabia, the de facto OPEC leader and the world's biggest oil exporter, is pushing producers to deepen a supply cut agreement when suppliers meet this week, potentially lowering supply in 2020.
The dollar-rupee December contract on the NSE was at 71.83 in the previous session. Open interest declined 0.63% in the previous session, said ICICIdirect.We expect the USD-INR to meet supply pressure at higher levels. Utilise upsides in the pair to initiate short positions, it added.LIVE NOW... Video series on How to Double Your Monthly Income... where Rahul Shah, Ex-Swiss Investment Banker and one of India's leading experts on wealth building, reveals his secret strategies for the first time ever. Register here to watch it for FREE.