Continuing its rising streak for the fourth straight day, the rupee on Tuesday appreciated by 94 paise to 64.30 in early trade against the dollar at the Interbank Foreign Exchange market after a slew of measures by the RBI last week to stem the currency’s slide.
The rupee had settled at 77 paise higher at 65.24 against the dollar on Friday.
The forex and money markets remained closed on Monday on account of Ganesh Chaturthi.
The local currency has spurted 239 paise, or 3.53 per cent, in the past three sessions.
Traders said the rupee is supported by persistent dollar selling by exporters and banks and a higher opening in the equity market amid measures announced by the RBI last week to curb the domestic currency’s slide.
The dollar’s weakness against other currencies overseas also supported the rupee’s sentiment, they said.
Meanwhile, the BSE benchmark index soared by 401.35 points, or 2.08 per cent, to 19,671.41 in early trade.
The new RBI governor last week announced measures such as liberalisation of the financial market by enhancing the limits for exporters to re-book cancelled forward exchange contracts and opening a special concessional window for swapping foreign currency non-resident (FCNR) deposits and dollar funds to support the rupee.