The Indian rupee strengthened by 5 paise to 95.53 against the US dollar in early trade on Friday, supported by improved global sentiment after the US and Iran agreed to extend their ceasefire arrangement for another 60 days.
Market participants believe the development could help ensure uninterrupted trade through the strategically important Strait of Hormuz, while diplomatic discussions over Iran's nuclear programme continue.
At the interbank foreign exchange market, the rupee opened at 95.77 per US dollar and later appreciated to 95.53 in early deals. During the opening session, it also touched an intraday low of 95.78 against the greenback.