Forex traders said investors were optimistic about the US-China trade talks in October.

Rupee came under pressure after official data released on Friday showed that GDP growth fell to an over six-year low of 5 pc.

Rupee stabilised following an announcement that Finance Minister Nirmala Sitharaman will address a press conference in the evening.

Tumbling equities and incessant foreign fund outflows weighed on sentiment.

Starting off on a bullish note, the rupee settled at 71.55, clocking a gain of 16 paise.

This is the lowest level for the rupee since February 4, when it closed at 71.80 a dollar.

Rupee tumbled amid growing worries over economic slump and sustained foreign fund outflows.

At the Interbank Foreign Exchange, the rupee opened weak at 71.33 then fell to 71.47 against the US dollar.

Forex traders said US delaying new tariffs on Chinese electronics to December 15, also helped investor sentiments.

The domestic currency has lost 71 paise in the past two sessions.