MUMBAI: The Indian rupee appreciated by 36 paise to 71.30 against the US dollar in early trade on Thursday.
At the interbank foreign exchange, the rupee opened at 71.46, then gained further ground and touched a high of 71.30, registering a rise of 36 paise over its previous close.
However, the domestic unit could not hold on to the gains and was trading at 71.35 against the dollar at 0949 hrs.
On Wednesday, the rupee had settled for the day at 71.66 against the US dollar.
On Tuesday, the BSE, NSE, currency and derivatives markets will remain closed on account of 'Muharram'.
Domestic bourses opened on a positive note on Thursday with benchmark indices Sensex trading 139.69 points higher at 37,410.51 and Nifty up 41.20 points at 11,076.90.
The dollar index, which gauges the greenback's strength against a basket of six currencies, fell marginally by 0.01 per cent to 98.63.
According to provisional exchange data, Foreign institutional investors (FIIs) remained net buyers in the capital market, putting in Rs 266.89 crore on Wednesday.
Brent crude futures, the global oil benchmark, rose 0.72 per cent to trade at USD 61.25 per barrel.
With inputs from PTI