The rupee reversed a four-day losing streak and rose 25 paise to 82.51 per US dollar in early trade on Friday amid positive trends in domestic as well as global equity markets.
At the interbank exchange rate, the domestic unit strengthened at 82.50 against the US dollar and decreased to 82.54. Later, it rose marginally to 82.51, registering a gain of 25 paise.
On Thursday, the rupee settled at 82.76 against the US dollar, depreciating for the fourth consecutive day.
At the same time, the dollar index, which shows the strength of the dollar against a basket of six currencies, decreased by 0.28 percent and reached 104.12.
The world futures of Brent oil rose by 1.10 percent and amounted to 75.12 dollars per barrel.
The 30-share BSE Sensex was up 410.04 points, or 0.71 percent, at 58,044.88, while the broader NSE Nifty was up 117.20 points, or 0.69 percent, at 17,102.80.
Lifelines for troubled US and European banks boosted investor sentiment amid concerns about the health of the global banking system.
Foreign institutional investors (FIIs) were net sellers in the equity market on Thursday as they offloaded shares worth Rs 282.06 crore, according to stock exchange data.
(Except for the headline, this story was not edited by NDTV staff and was published on a syndicated channel.)