The rupee closed at 86.5775 against the U.S. dollar, down from its close of 86.5675 in the previous session. While the local unit touched a peak of 86.2825 early in the session, it trimmed the gains on the back of broad-based dollar bids and a 0.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading lower by 0.30% at 109.02.

The Indian rupee is poised to open higher on Tuesday amid swings in the U.S. dollar, spurred largely by the news flow and headlines related to U.S. President Donald Trump's tariff plans. The 1-month non-deliverable forward indicated that the rupee will open at 86.