Markets will resume trading on Friday.
The partially convertible rupee closed at 61.98/99 per dollar on Wednesday compared with its close of 61.9350/9450 on Tuesday.
The benchmark BSE index rose 0.65 percent, or 134.52 points, to end at 20,986.99 on Wednesday. The broader NSE index rose 0.62 percent, or 38.75 points, to end at 6,238.80.
The benchmark 10-year bond yield closed 5 basis points higher at 8.92 percent, a level last seen on Dec. 30.
The benchmark five-year swap rate closed up 8 bps at 8.61 percent, while the one-year rate ended 5 bps higher at 8.71 percent.