The rupee strengthened by six paise to 61.34 against the U.S. dollar in early trade on Wednesday at the Interbank Foreign Exchange on selling of the U.S. currency by exporters and banks amidst sustained capital inflows.
The rupee settled four paise down at 61.40 against the dollar on Monday. Forex market remained closed on Tuesday on account of Muharram.
Traders said besides selling of the American currency by exporters and banks, continued foreign fund inflows and a higher opening in the domestic equity market, helped the local currency to strengthen but the dollar’s gain against other currencies overseas, capped the rupee’s rise.
Meanwhile, the benchmark BSE breached the 28,000-mark for the first time in early trade.
