Early on Tuesday, as the US dollar fell from its high levels, the rupee increased 11 paise to 82.68 against the US dollar.
Forex traders said sustained foreign fund outflows weighed on the local unit and restricted the appreciation bias.
The domestic unit at the interbank foreign exchange started the day at 82.69 against the dollar and slightly increased to 82.68, recording a rise of 11 paise over its prior close amid an uptick in domestic equities.
On Monday, the rupee closed at 82.79 against the US currency.
The dollar index, which measures the strength of the dollar against a basket of six different currencies, increased 0.06 percent to 104.73.
The benchmark for global oil, Brent crude futures, increased 0.17 percent to USD 82.59 per barrel.
The 30-share BSE Sensex increased 84.34 points or 0.14 percent to 59,372.69 points on the domestic equity market. The broader NSE Nifty advanced 11.15 points or 0.06 per cent to 17,403.85 points.
According to exchange data, Foreign Institutional Investors (FIIs) sold shares worth Rs 2,022.52 crore on Monday, making them net sellers in the capital market.
With inputs from Agencies.
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