The rupee strengthened by three paise to 60.09 against the dollar in early trade on Thursday at the Interbank Foreign Exchange market on increased selling of the U.S. currency by exporters.
The local currency had gained one paisa to close at 60.12 against the dollar on Wednesday.
Forex dealers said strength in other currencies against the dollar also supported the rupee
Forex dealers said besides selling of dollars by exporters, strength in other currencies against the American unit overseas also supported the rupee but a lower opening of the domestic equity market, capped the gains.
Meanwhile, the benchmark BSE Sensex fell by 57.13 points, or 0.23 per cent, to 25,256.61 in early trade on Thursday.