Mumbai, Nov 4 (PTI) The rupee recovered from the record low level and settled with a gain of 11 paise at 88.66 (provisional) against the US dollar on Tuesday boosted by falling crude oil prices overseas.

Forex traders said a firm dollar, outflow of foreign funds and subdued domestic equity markets prevented a sharp gain in the Indian currency.

At the interbank foreign exchange, the rupee opened at 88.55 and hit the intra-day high of 88.28 against the greenback. The unit also touched a low of 88.67 before ending the session at 88.66 (provisional) against the dollar, up 11 paise from its previous closing level.

On Monday, the domestic unit, declining for the third consecutive session, ended 7 paise lower at 88.77 against the US dollar, near its all-time closing level.

The rupee had recorded its lowest-ever closing level of 88.81 against the dollar on October 14.

The foreign exchange markets will be closed on Wednesday on account of Prakash Gurpurb holiday.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.09 per cent to 99.80.

Brent crude, the global oil benchmark, fell 1.37 per cent to USD 64 per barrel in futures trading.

On the domestic equity markets front, the Sensex tanked 519.34 points or 0.62 per cent to settle at 83,459.15, while the Nifty declined 165.70 points or 0.64 per cent to end at 25,597.65.

Foreign institutional investors sold equities worth Rs 1,883.78 crore on Monday, according to exchange data.

A monthly survey released on Monday showed India's manufacturing sector activity strengthened in October, buoyed by Goods and Services Tax relief, productivity gains and tech investment, even as international sales increased at a weaker pace.

The seasonally adjusted HSBC India Manufacturing Purchasing Managers’ Index (PMI) rose from 57.7 in September to 59.2 in October, indicating a quicker improvement in the sector's health. PTI HVA ANU ANU