Rupee ends higher at 73.71 per dollar

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Indian rupee ended at day's high at 73.71 per dollar, amid buying seen in the domestic equity market.

It opened 10 paise lower at 73.95 per dollar against previous close of 73.85.

At 14:57 IST, the Sensex was up 378.53 points or 0.94% at 40524.03, and the Nifty was up 122.20 points or 1.04% at 11890.

The dollar clung to small gains on Tuesday as the greenback’s safe-haven appeal was burnished by worries about a second wave of COVID-19, which drove the steepest stock market selloff in a month and underpinned a bond rally.

Oil prices regained a semblance of stability on Tuesday after suffering sharp losses over the previous session and last week, as a resurgence of coronavirus cases globally hit prospects for crude demand while increasing supply also hurt sentiment.

Yesterday, weakness in the rupee was mainly on the back of Dollar index and a choppy domestic market. However, Call writing positions are high in ATM strike and a leg of appreciation could be seen from here, said ICICIdirect.

The dollar-rupee October contract on the NSE was at 74.01 in the last session. The open interest declined 26.1% for the October series while it increased 48.1% in the next series, it added.