USD/INR closed at 71.56 against its opening of 71.70. USD/INR ends down on selling by exporters. Indian rupee was trading marginally higher against US dollar in the opening trade. Traders are cautious ahead of the key Reserve Bank of India meeting on Thursday. A majority of bank treasury heads surveyed by Mint expects RBI to announce a status-quo policy, while changing the policy stance from calibrated tightening to neutral. However, some bankers are not ruling out a 25 basis points (bps) cut before the upcoming general election. Falling inflation, along with an expansionary budget, could push the RBI to maintain the policy rates unchanged, said a section of bankers.
President Donald Trump's upbeat comments on the US-China trade talks also led to a cheer in investor sentiment, as the March 1 deadline looms ahead.
Crude oil futures surged on concerns over tightening supply cut as US imposes sanctions on Venezuela's petroleum industry amid supply cuts by Russia and OPEC.
Sensex provisionally ends 33 points higher with 18 components in the green.