Mumbai: The rupee rose 36 paise to close at 85.72 against the US dollar on Thursday on the back of a sharp drop in the greenback and a strong show in the domestic equity markets amid rise in risk appetite.
The rupee extended its gains supported by a rise in risk appetite in global markets after the announcement of a ceasefire between Iran and Israel, forex traders said.
Domestic markets rose by around a per cent each, while the US Dollar fell towards the 97 mark. Moreover, the broad decline in crude oil prices too favoured the domestic currency.
At the interbank foreign exchange, the rupee opened at 85.91 against the US dollar and traded in the range of 85.63-85.93 before settling at 85.72, up 36 paise from its previous close.
On Wednesday, the rupee settled lower by 3 paise at 86.08 against the US dollar.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.52 per cent down at 97.10 after strengthening in the previous
session.