Rupee rallies 50 paise as cheaper crude lifts sentiment

The rupee rallied 50 paise to close at 94.96 against the US dollar on Tuesday, up from 95.40 on Monday, supported by cheaper crude oil after Saudi Arabia cut its August prices for Asian buyers and easing West Asia geopolitical tensions. Brent crude traded around $72.88 a barrel, while the dollar index eased to 100.9 from 101.2. Resumption of foreign portfolio investor flows into Indian equities further stabilised the currency, with analysts expecting it to trade between 94.75 and 95.50 on Wednesday.