Indian rupee strengthened against the US dollar on Monday even with caution ahead of US inflation data due Wednesday that could influence the US Federal Reserve’s monetary policy stance. Meanwhile, weakness of the American currency at overseas market, significant foreign fund inflows and crude oil prices below $75 a barrel supported rupee sentiments. Foreign Institutional Investors (FIIs) were net buyers in the capital market on Friday as they bought shares worth Rs 777.68 crore, exchange data showed. While, India's foreign exchange reserves jumped $4.532 billion to $588.78 billion for the week ended April 28, the Reserve Bank of India said. The forex market was shut on Friday on account of Buddha Purnima.
The partially convertible currency is currently trading at 81.76, stronger by 2 paise from its previous close of 81.78 on Thursday. The currency touched a high and low of 81.7850 and 81.70 respectively.