RBI fixed reference rate for US$ at Rs 64.43 and Euro at Rs 76.48

On the global front, the US dollar dropped sharply to reports that Michael Flynn, Donald Trump s former national security adviser who was charged earlier on Friday with lying to the FBI, was prepared to testify that the president directed him to make contact with Russian officials.

The dollar index, which tracks the greenback against six major currencies, was a tad higher at 92.81 against 92.79 previously.

Elsewhere, the common currency Euro staged a good run against the US dollar on the back of stronger-than-expected Eurozone data and the improvement in risk appetite.

British Pound, however, slipped from a two-month high against the dollar, getting only a temporary boost from better-than-expected UK manufacturing data, as investors fretted about Britain reaching a deal with the European Union over the Irish border.

In cross-currency trade, the rupee remained sluggish against the British pound and settled at 86.65 per pound from 86.13.

The local currency, however, recovered against the Euro to finish at 76.33 as compared to 76.73 and also rebounded against the Japanese Yen to close at 57.39 per 100 yens from 58.03 last weekend.

In the forward market, a premium for dollar showed a mixed trend owing to lack of market-moving factors.

The benchmark six-month forward dollar premium payable for April moved down to 114-116 paise from 117-119 paise, while the far-forward contract maturing in October 2018 held steady at 256-258 paise last Friday.