The rupee traded between 65.03 and 65.11 against the US dollar so far during today's session.
The dollar's move higher overnight hit commodities, including oil. The U.S. currency strengthened against the euro after news that Germany has been unable to form a coalition government, adding to political uncertainty in the European Union. The dollar gained 0.4 percent against the euro.
Yesterday, the rupee had retreated from its near one-week high and ended lower by 10 paise at 65.11 in a restricted trade amid stray dollar demand.
(With agency inputs)