Rupee ends near day's high at 73.24 per dollar

Indian rupee ended near the day's high level at 73.24 per dollar, amid buying seen in the domestic equity market.

It opened flat at 73.31 per dollar against previous close of 73.33 and remained in the range of 73.21-73.35.

At 14:09 IST, the Sensex was up 410.52 points or 1.03% at 40289.47, and the Nifty was up 116.80 points or 0.99% at 11855.70.

"This week is the RBI MPC outcome, we expect the central bank to maintain a status quo on the back of rising inflation. The focus will be on growth projections, as since February 2020, the RBI has not given a solid economic projection. Meanwhile, the chatter will orbit around the US political scenario," said Rahul Gupta, Head of Research- Currency, Emkay Global Financial Services.

"We are observing an occasional bullish attempt in dollar. And as the dollar index marches towards 94 zone, there is an uptrend in USDINR. Also, there still persists an uncertainty in the runup to US presidential elections and this cautiousness will keep dollar bulls active. We expect the USDINR spot to trade in between 73.25-73.75, only a break of 73.75 will open doors for 74 zone," he added.

Oil prices rose on Thursday as oil workers evacuated rigs in the U.S. Gulf of Mexico ahead of Hurricane Delta, though fuel demand concerns persisted on fading chances for an economic stimulus deal in the United States, the world’s biggest oil consumer.

The Federal Reserve chairman warned of tragic economic consequences in the absence of additional fiscal aid to limit the downside of the dollar. This would keep the rupee move in check, which could move around 73.6 levels in coming days, said ICICIdirect.

The dollar-rupee October contract on the NSE was at 73.48 in the last session. The open interest fell 1.3% in the last session, it added.