The rupee appreciated by 21 paise to 69.09 against the US dollar in opening trade on Wednesday, driven by weakening of the greenback in overseas markets.

The rupee opened strong at 69.26 at the interbank forex market then gained further ground and touched 69.09 amid a weak opening in domestic equities, displaying gains of 21 paise over its last close.

Forex dealers said selling of the American currency by exporters supported the rupee. Moreover, the IMF’s bullish growth outlook for the Indian economy also added strength to the local currency.According to the International Monetary Fund , India is projected to grow at 7.3 per cent in 2019 and 7.5 per cent in 2020, supported by the continued recovery of investment and robust consumption, thus remaining the fastest growing major economy of the world.

Meanwhile, foreign investors remained net buyers in the capital markets, putting in Rs 1,212.35 crore on a net basis on Tuesday, the provisional exchange data showed.Brent crude futures, the global oil benchmark, eased 0.03 per cent to USD 70.59 per barrel.