At the Interbank Foreign Exchange (Forex) market, the domestic currency resumed firm at 42.58/59 a dollar from its previous close of 42.60/61 a dollar and later surge to 42.53/54 a dollar.
Forex dealers said rupee drew support from expectations on possible dollar sales by exporters in view of falling oil prices. Global crude oil prices fell to below 124 dollars a barrel in the Asian trade this morning.
Rupee, however, is expected to come under pressure from sustained capital outflows and rising inflation, which is likely to move upward after any fuel price hike, they said.
Stocks too remained under pressure ahead of the crucial decision on fuel price hike today and the BSE benchmark index Sensex fell by 76 points in early trade.
