As initial success in COVID-19 vaccine trial boosted investor sentiment world over, the rupee appreciated 20 paise to 75.71 against the US dollar in early trade on Tuesday.
Besides the encouraging results in COVID-19 vaccine trial, higher opening of domestic equities and weakening American currency supported the local unit. At the interbank foreign exchange, the rupee opened at 75.71, registering a rise of 20 paise over its previous close.
On Monday, the rupee had settled at 75.91 against the US dollar.
Reliance Securities said in a research note, “The rupee opened with gains this Tuesday amid improving risk appetite after encouraging data from the trial of a vaccine for COVID-19. Initial data from Moderna Inc’s COVID-19 vaccine showed that it produced protective antibodies in a small group of healthy volunteers.”