Rupee rises by 15 ps against dollar; extends gains for 2nd day


MUMBAI: The rupee extended its gains for the second trading day today against the US currency, surging by another 15 paise to close at 66.53 per dollar on hopes of more foreign capital inflows.

Firm equity markets also boosted the rupee value against the dollar, a forex dealer said.

The rupee resumed higher at 66.58 per dollar as against the last weekend’s level of 66.68 per dollar at the Interbank Foreign Exchange (Forex) Market.

It firmed up further to close at 66.53 per dollar, showing a gain of 15 paise or 0.22 per cent. The rupee has gained 16 paise or 0.24 per cent in two trading sessions.

The domestic currency hovered in a range of 66.53 per dollar and 66.61 per dollar during the day.

Selling of dollar by exporters and banks amid hopes of foreign fund inflows strengthened the rupee, dealers said.

Foreign funds bought shares worth a net USD 65 million on Friday last, as per the SEBI’s record.

Meanwhile, the dollar index was trading higher by 0.19 pct against a basket of six currencies in late afternoon trade.

The Reserve Bank today fixed the reference rate for the dollar at 66.5856 and for euro at 74.4027.

In cross-currency trades, the rupee fell against the pound sterling to finish at 82.60 from the last weekend’s level of 82.23 while euro firmed up further to 74.25 from 74.27.

The domestic currency recovered marginally against the Japanese yen to close at 64.35 per 100 yens as compared to 64.36 per 100 yens previously.

In the forward market, premium for dollar continued to decline due persistent receiving by exporters.

The benchmark six-month premium for March eased to 170.25-171 paise from 171-172 paise previously and the forward-September 2017 contract also moved down to 347.75- 348.75 paise from 348.5-349.5 paise on last Friday.

Meanwhile, the benchmark BSE Sensex recovered 22.2 points or 0.08 per cent to close at 28,082,34.