MUMBAI: The Indian rupee rose early on Tuesday backed by the dollar's drop versus major units but the local sharemarket performance would be crucial in determining further direction, dealers said.
At 9:04 am the partially convertible rupee was at 46.64/65 per dollar, stronger than its close of 46.7050/7150 on Monday.
At 0334 GMT, the MSCI-index of Asian stocks ex-Japan was down 0.2 per cent and the Nifty India stock futures traded in Singapore were 0.2 per cent higher, indicating a flat to lower start to the local sharemarket.
Foreign funds have bought $16.5 billion of Indian equities so far this year, Nomura data showed, helping a three-quarters rally in the main stock index.
The dollar was subdued on Tuesday, pulling away from recent two-month highs against the euro, with markets wary about what the US Federal Reserve would signal after its two-day policy meeting.
Source : The Economic Times