At the interbank forex market, the domestic unit opened on a strong note at 74.70, but erased the gains to finally close at 74.83, unchanged from its previous closing.
During the session, the domestic unit witnessed an intra-day high of 74.67 and a low of 74.90 against the US dollar.
Forex traders said the uptick in the rupee during the day was supported by weak greenback and foreign fund inflows.
While muted domestic equities and concerns over geopolitical developments weighed on investor sentiment, they added.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.53 per cent to 93.93.
On the domestic equity market front, the BSE benchmark Sensex was trading 101.11 points lower at 38,027.79; and the NSE Nifty fell 36.85 points to 11,157.30.
Foreign institutional investors were net buyers in the capital market as they purchased shares worth Rs 409.88 crore on Friday, according to provisional exchange data.
Brent crude futures, the global oil benchmark, fell 0.16 per cent to USD 43.27 per barrel.