The rupee appreciated against the US dollar due to positive domestic equity markets and foreign fund inflows. However, the domestic currency was affected by the strong American currency and volatile crude oil prices. The dollar index, which measures the strength of the greenback, was trading higher. In the domestic equity market, the BSE Sensex and NSE Nifty showed slight gains. Foreign Institutional Investors were net buyers in the capital markets. The HSBC India Services PMI Business Activity Index indicated a sharp increase in output. The country’s forex reserves also saw a significant increase.