Rupee pares losses; settles 5 paise higher at 70.82 against US dollar

The rupee pared its early losses to settle 5 paise higher at 70.82 against the US dollar on Wednesday, ahead of the signing of phase 1 trade agreement between the US and China.

Forex traders said market participants traded cautiously ahead of the signing of the first phase of the much-anticipated US-China trade deal.

At the interbank foreign exchange, the rupee opened on a weak note at 71.01 against the US dollar. The local unit, however, pared the early losses and after witnessing a high of 70.80. Finally, it closed at 70.82 against the US dollar, higher by 5 paise over its previous closing.

The rupee on Tuesday had closed at 70.87 against the US dollar.

"The Indian rupee traded flat after opening weak against US dollar ahead of the signing of phase 1 trade agreement between US and China," said V K Sharma, Head PCG and Capital Markets Strategy, HDFC Securities.