Rupee ends flat at 74.76 per dollar

Indian rupee erased early gains and ended flat at 74.76 per dollar, amid volatile trade seen in the domestic equity market.

It opened higher by 17 paise at 74.57 per dollar against previous close of 74.74 and traded in the range of 74.57-74.86.

At 14:07 IST, the Sensex was down 155.15 points or 0.41% at 37775.18, and the Nifty was down 52.50 points or 0.47% at 11109.80.

The dollar nursed losses against most currencies, undermined by concern that Republicans and Democrats are struggling to reach consensus on the next round of U.S. economic stimulus measures.

Oil prices fell on Wednesday as industry data showed a bigger- than-expected inventory build in the United States where coronavirus cases continue to climb, potentially further denting demand in the world's biggest oil consumer.

"Overall the trend in USDINR spot has been bearish, breaching the psychological level of 75 on weak dollar and risk on mood. In the past, the USDINR spot has not been able to break the crucial support of 74.50 on likely RBI buying, and had bounced from there," said Rahul Gupta, Head of Research- Currency, Emkay Global Financial Services.

"We expect 74.50 to continue to act as a crucial support until the US decides on the fresh stimulus program. However, a consistent trading below 74.50 will open doors for 74.20/74.25 with 75 acting as the crucial resistance," he added.