Rupee gains 14 paise to 94.61 against US dollar as crude eases, foreign inflows strengthen

New Delhi: The Indian rupee strengthened by 14 paise to 94.61 against the US dollar in early trade on Wednesday, supported by softer crude oil prices, a weakening greenback and sustained foreign institutional inflows into domestic equities.

The local currency also benefited from positive sentiment in the stock market, where benchmark indices extended their winning streak for the fifth consecutive session, even as investors remained cautious ahead of the outcome of the US midterm elections.

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At the interbank foreign exchange market, the rupee opened at 94.61 against the dollar and strengthened further to 94.50 before surrendering some gains to trade at 94.61, up 14 paise from its previous close.

On Tuesday, the domestic currency had appreciated by 9 paise to settle at 94.75 against the American currency.

Dollar weakens, crude prices retreat

The US dollar came under pressure as declining Treasury yields and expectations surrounding the US midterm election results weighed on the greenback.

The dollar index, which measures the American currency's strength against a basket of six major currencies, declined 0.54 percent to 101.17.

Meanwhile, Brent crude futures, the global oil benchmark, slipped 0.49 percent to USD 103.09 per barrel, offering some relief to India, which depends heavily on imported crude oil.

Lower crude prices generally ease pressure on India's import bill and reduce dollar demand from oil marketing companies, providing support to the rupee.

However, elevated global energy prices and continuing geopolitical uncertainties remain potential risks for the domestic currency.

Foreign investors sustain buying momentum

Renewed foreign portfolio inflows provided another boost to the rupee.

Foreign institutional investors (FIIs) remained net buyers for the third consecutive session on Tuesday, purchasing equities worth Rs 6,836.81 crore, according to provisional exchange data.

The sustained buying signals improving foreign investor sentiment towards Indian equities, supported by attractive valuations in select large-cap stocks and encouraging corporate earnings.

Sensex jumps over 435 points

Domestic equity markets also maintained their upward momentum, adding to the positive sentiment in the currency market.

The 30-share BSE Sensex climbed 435.10 points, or 0.57 percent, to 77,352.95 in early trade, while the NSE Nifty advanced 115.90 points, or 0.49 percent, to 23,925.10.

Both benchmark indices had rallied more than 1.5 percent in the previous session.

US elections, oil prices remain key triggers

Forex market participants are closely monitoring developments surrounding the US midterm elections, movements in US Treasury yields and global crude oil prices for further direction.

While the weakening dollar and renewed foreign inflows have provided near-term support, the rupee's trajectory will also depend on the sustainability of equity inflows and developments in international energy markets.

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For now, the combination of stronger domestic equities, foreign fund inflows and softer crude prices has given the Indian currency a positive start to Wednesday's trading session.

Based on the supplied early-trade market figures for November 4, 2026. These are not independently verified live quotes.

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