USD/INR closed at 71.1800 against its opening of 71.0650. USD/INR in the offshore market extended gains during intraday trades Friday tracking the spike in spot pair. Foreign banks are the main buyers on behalf of oil importers in the spot pair as the crude oil prices surged.
During overnight trades, Brent breached $62/bbl boosted by a rebound in global equities amid news that OPEC sharply curtailed production in December. Brent crude oil futures for March delivery traded 0.51% up at $61.69 a barrel on Friday.
The greenback eased marginally against major peers following reports that US Trump administration officials may consider easing tarrifs of trade tensions with China.
The dollar index, which tracks the movement of the greenback against a basket of six major currencies, traded at 96.06 during early Asian trades Friday compared to 96.04 at previous close.
The Wall Street Journal reported, Treasury Secretary Steven Mnuchin proposed lifting all or some of the tariffs. The goal is to push forward trade talks and get China's support for longer-term reform.China's vice premier, Liu He, is scheduled to travel to US at the end of January for further talks.
Sensex edges 100 points lower, Nifty below 10,900.