<p>The rupee appreciated 8 paise to 81.25 against the US dollar in early trade on Monday supported by a weak dollar in the overseas market.</p>.<p>Forex traders said weak domestic equities weighed on the local unit and restricted the appreciation bias.</p>.<p>At the interbank foreign exchange, the domestic unit opened at 81.26 against the dollar, then gained further ground to touch 81.25, registering a rise of 8 paise over its previous close.</p>.<p>On Friday, the rupee had settled down by 7 paise at 81.33 against the dollar.</p>.<p>Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.37 per cent to 104.15.</p>.<p>Brent crude futures, the global oil benchmark, advanced 1.05 per cent to USD 86.47 per barrel.</p>.<p>In the domestic equity market, the 30-share BSE Sensex was trading 139.99 points or 0.22 per cent lower at 62,728.51. The broader NSE Nifty fell 22.60 points or 0.12 per cent to 18,673.50.</p>.<p>Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday as they purchased shares worth Rs 214.76 crore, according to exchange data.</p>.<p>Forex traders said the Reserve Bank of India's monetary policy decision on Wednesday will be keenly watched by investors for further cues.</p>.<p>The Reserve Bank may opt for a lower rate increase of 25-35 basis points in lending rates amid retail inflation showing signs of moderation and the need to push growth, according to experts.</p>.<p>The RBI will come out with its next bi-monthly policy review on December 7 at the end of a three-day meeting of the Monetary Policy Committee (MPC) beginning Monday.</p>
<p>The rupee appreciated 8 paise to 81.25 against the US dollar in early trade on Monday supported by a weak dollar in the overseas market.</p>.<p>Forex traders said weak domestic equities weighed on the local unit and restricted the appreciation bias.</p>.<p>At the interbank foreign exchange, the domestic unit opened at 81.26 against the dollar, then gained further ground to touch 81.25, registering a rise of 8 paise over its previous close.</p>.<p>On Friday, the rupee had settled down by 7 paise at 81.33 against the dollar.</p>.<p>Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.37 per cent to 104.15.</p>.<p>Brent crude futures, the global oil benchmark, advanced 1.05 per cent to USD 86.47 per barrel.</p>.<p>In the domestic equity market, the 30-share BSE Sensex was trading 139.99 points or 0.22 per cent lower at 62,728.51. The broader NSE Nifty fell 22.60 points or 0.12 per cent to 18,673.50.</p>.<p>Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Friday as they purchased shares worth Rs 214.76 crore, according to exchange data.</p>.<p>Forex traders said the Reserve Bank of India's monetary policy decision on Wednesday will be keenly watched by investors for further cues.</p>.<p>The Reserve Bank may opt for a lower rate increase of 25-35 basis points in lending rates amid retail inflation showing signs of moderation and the need to push growth, according to experts.</p>.<p>The RBI will come out with its next bi-monthly policy review on December 7 at the end of a three-day meeting of the Monetary Policy Committee (MPC) beginning Monday.</p>