Mumbai

The Indian rupee rebounded from its record low against the US dollar on Tuesday, gaining 36 paise to close at 91.85 (provisional), supported by a sharp decline in global crude oil prices and improved sentiment in domestic equity markets.

At the interbank foreign exchange market, the rupee opened at 91.92 and moved in a range of 91.71 to 92.19 during the session before settling at 91.85, up 36 paise from its previous close.

The domestic currency had hit an all-time closing low of 92.21 against the US dollar on Monday after global oil prices surged and the dollar strengthened.

Forex traders said a sharp fall in crude prices and a weaker greenback helped the rupee recover.

Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, said the rupee bounced back as global risk sentiment improved after Donald Trump indicated that the conflict with Iran could end soon following the achievement of military objectives.

He added that a decline in the US Dollar Index and falling crude prices also supported the Indian currency.

Choudhary said the rupee may trade with a slightly positive bias amid supportive domestic markets and a weaker dollar, with the USD-INR spot expected to move in the 91.60–92.20 range.

Meanwhile, global oil benchmark Brent crude was trading 8.31 per cent lower at USD 90.74 per barrel in futures trade as the conflict involving the US, Israel and Iran intensified.

On the domestic equities front, benchmark indices BSE Sensex and Nifty 50 ended sharply higher, with the Sensex rising 639.82 points to 78,205.98 and the Nifty gaining 233.55 points to close at 24,261.60.

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According to exchange data, Foreign Institutional Investors (FIIs) sold equities worth Rs 6,345.57 crore on a net basis on Monday.