The rupee strengthened by 9 paise to 86.43 against the US dollar in early Monday trade, supported by a weaker greenback. However, gains were capped amid ongoing US-India tariff negotiations that kept investors cautious.
According to forex traders, the rupee remained range-bound as persistent dollar demand from importers continued to support the US currency.
They added that while progress on trade agreements provided some relief, the impact was offset by continued foreign fund outflows.