Indian rupee, the currency benchmark gained 15 paise to 74.69 per dollar on Friday's opening bell, tracking weakness in the greenback.
The local currency opened at 74.74 at the interbank forex market and later gained further ground to touch 74.69 against the US dollar, up 15 paise over its last close of 74.84.
Foreign institutional investors were net buyers in the capital market as they purchased shares worth Rs 207.30 crore on Thursday, according to provisional exchange data.
The dollar index, that gauges the greenback's strength against a basket of six currencies, fell by 0.40 per cent to 92.65.
"The US dollar extended losses this morning in Asian trade weighed down by weak economic data and President Trump's tweet on elections," Reliance Securities said in a research note.
The US economy plunged by a record-shattering 32.9 per cent annual rate last quarter.
US President Donald Trump on Thursday for the first time openly floated the idea of postponing the presidential elections in November, a suggestion immediately criticised by leaders of the opposition Democratic Party.
"With universal mail-in voting (not absentee voting, which is good), 2020 will be the most inaccurate and fraudulent election in history," Trump tweeted on Thursday, just 96 days before the election.
On the domestic equity market front, the 30-share BSE benchmark Sensex was trading 22.86 points lower at 37,713.21 and broader NSE Nifty fell 1.55 points to 11,100.60.
Meanwhile, Brent crude futures, the global oil benchmark, rose 0.54 per cent to USD 43.17 per barrel.
In India, domestic coronavirus cases neared 16.39 lakh with total deaths standing at 35,786. Worldwide, there are 174 lakh confirmed cases and 6.7 lakh deaths from the coronavirus COVID-19 outbreak.
(With PTI Inputs)
Stocks in news: RIL, Torrent Pharma, HDFC, Tata Motors, State Bank of India