The Indian rupee appreciated by 14 paise to reach 74.59 against the US dollar in opening trade on Tuesday, supported by positive domestic equities. At the interbank forex market, the local unit opened at 74.65 against the US dollar and then inched higher to 74.59 against the greenback, registering a rise of 14 paise over its previous close.

On Monday, the rupee had settled at 74.73 against the American currency. “The USD-INR Spot pair has consolidated in a narrow range where it is reluctant to cross above 75.00 levels and now could retest 74.65-74.50 levels. Resistance is at 74.85-75.00 levels. The USD-INR spot pair could trade in a range of 74.60-74.90 levels,” Reliance Securities said in a research note.

On the domestic equity market front, the 30-share BSE benchmark Sensex was trading 276.5 points higher at 48,663.01, and the broader NSE Nifty advanced 82.75 points to 14,567.75. The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.13 per cent to 90.92.

Foreign institutional investors were net sellers in the capital market as they offloaded shares worth Rs 1,111.89 crore on Monday, according to exchange data

“The US dollar index was trading higher this morning in Asian trade tracking the strength of the bond yields,” the research note said, adding that investors are awaiting US Federal Reserve’s monetary policy outcome on Wednesday for further cues.

Brent crude futures, the global oil benchmark, rose 0.53 per cent to USD 66 per barrel. Foreign institutional investors were net sellers in the capital market as they offloaded shares worth Rs 1,111.89 crore on Monday, according to exchange data.