The Indian rupee strengthened by 3 paise to 85.69 against the US dollar, benefiting from a surge in foreign investments. Despite facing challenges such as liquidity constraints and importers’ month-end dollar demands, the rupee opened at 85.71 and experienced fluctuations before ending on a positive note. The currency’s upward trend was largely driven by foreign banks and exporters, contributing to its resilience throughout the trading day. This development underscores the impact of increased foreign fund inflows on the Indian currency’s performance against the dollar.