The Indian rupee today rebounded by 17 paise against the dollar to end the five-day losing streak in line with the recovery in stock markets.
At the Interbank Foreign Exchange (Forex) market, the domestic unit opened higher at 46.75/76 per dollar against yesterday’s close of 47.03/04 per dollar.
It moved in the range of 46.75 and 46.94 through the day before settling at 46.86/87 a dollar.
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In last five straight sessions, the rupee was dropped by 59 paise or 1.27 per cent.
Forex dealers said dollar selling by banks and exporters amid sharp recovery in equity markets supported the rupee sentiment.
The dollar declined against the euro and the British pound yesterday in the New York market as US stocks benchmarks extended gains to more than two per cent in a broad-based rally on Wall Street.
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The Indian benchmark sensex ended higher by 181 points, or 1.03 per cent. Barring China, other Asian stocks ended with gains.
Meanwhile, global crude oil was trading around $ 75 a barrel in London today.
The rupee premium for the forward dollar remained lower on sustained receivings by exporters.
The benchmark six-month forward dollar premium payable in December closed weak at 83-84-1/2 paise from 84-1/2-86-1/2 paise on Wednesday and far-forward maturing in June also finished down at 137-139 paise from 139-1/2-141-1/2 paise previously.
The Reserve Bank of India fixed the reference rate for the dollar at Rs 46.85 and for the euro at Rs. 59.32.
In cross currency trade, the domestic unit settled higher against the pound sterling and the Japanese yen while moved down further against the euro.
The rupee rose against the Pound Sterling to end at Rs. 70.97/99 per pound from Wednesday’s close of Rs. 71.16/18.
Against the yen, it shot up to Rs. 53.21/23 per 100 yen from Rs 53.90/92 previously.
It, however, remained weak against the euro to finish at Rs 59.28/30 per euro from its last close of Rs. 59.23/25.