Rupee rises 7 paise to 85.55 against dollar

New Delhi: The rupee pared initial losses and edged up 7 paise to close at 85.55 against the US dollar on Thursday, following a weak greenback against major crosses overseas and a decline in US treasury yields.

Forex traders said the dollar declined on weaker-than-expected ADP Non-Farm Employment data from the US.

A decline in global crude oil prices also supported the local unit, they added.

At the interbank foreign exchange, the domestic unit opened at 85.69 against the American currency and touched an intra-day high of 85.19 and a low of 85.70 during the session.

The local unit finally settled at 85.55, higher by 7 paise than its previous closing price.

On Wednesday, the rupee depreciated 3 paise to close at 85.62 against the US dollar.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.05 per cent to 96.82.

Foreign institutional investors (FIIs) offloaded equities worth Rs 1,561.62 crore on a net basis on Wednesday, according to exchange data.