Indian rupee hits three-week high at 60.20 against US dollar

Written by Agencies | Mumbai | Updated: May 2 2014, 16:49pm hrs
Rupee graphForex and money markets were closed on Thursday on account of 'Maharashtra Day'.
The Indian rupee rises to 60.12/13 from 60.31/32 on Wednesday, after earlier rising as high as 60.09, a level last seen on April 10.

USD/INR was under pressure as month-end dollar buying by oil companies in recent sessions faded and also due to stronger domestic shares.

The dollar struggled to make any headway early on Friday, still languishing near a three-week trough against a basket of major currencies as investors stay on the sidelines ahead of a closely watched U.S. employment report.

Traders see USD/INR moving in a 60.00 to 60.50 range during the session.

Rupee: Early trade

Continuing its rising streak, the rupee strengthened by another 11 paise to trade at 60.20 against the dollar in early trade today at the Interbank Foreign Exchange market on sustained selling of the US currency by exporters and banks.

The rupee had gained 11 paise to close at more than one-week high of 60.31 against the dollar on Wednesday. Forex and money markets were closed yesterday on account of "Maharashtra Day".

Traders said dollar selling by exporters and banks and increased capital inflows helped the domestic currency to strengthen.

They said, however, dollar's strength against other currencies overseas capped the rupee's gains.

Meanwhile, the benchmark BSE Sensex rose by 157.18 points, or 0.70 per cent, to 22,574.98 in early trade today.