The rupee on Thursday rose by 45 paise, its best single-day gain in three months, to close at a two-week high of 60.76 against the U.S. currency on fresh dollar selling by exporters and bullish domestic equities amid fall in wholesale inflation to five-month low in July.
Increased portfolio investments by foreign funds and weak dollar overseas, too, lifted the market sentiment, forex dealers said.
The rupee resumed strong at 61.04 from the previous close of 61.21 but touched a low of 61.13 at the inter-bank foreign exchange market. However, it later bounced back to close at the day’s highest level of 60.76, a net rise of 45 paise. It is the rupee’s highest closing level since 60.55 on July 31.
It is also the rupee’s best single-day gain since May 16 this year, when it had risen by 50 paise.
The dollar index, consisting of six major global currencies, was down by 0.08 per cent.
