Besides, the dollar's weakness against major world currencies after poor data in China and Europe bolstered prospects the Federal Reserve will delay hiking its key interest rate strengthened the rupee sentiment.
The rupee had fallen by 43 paise to close at 65.18 against the American currency yesterday on persistent dollar demand from banks and importers.
Domestic equity markets opened with losses which capped the rupee gains, they said.
The benchmark  BSE Sensex fell by 133.25 points, or 0.49 percent, to 26,713.28 in morning trade.



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