Rupee strengthens further

Support for the rupee also came from capital inflows on the back of a recovery in local equities.

The rupee added 37 paise to a one-week high of 62.07 against the dollar on Thursday as the RBI eased swap norms for banks borrowing funds overseas and exporters sold the US currency. File photo

The rupee rebounded on strong inflow of U.S. dollars in the foreign exchange market, while the stock indices edged up in range-bound trading on the bourses.

The rupee closed at 62.07 on Thursday against 62.44 a dollar on Wednesday. It touched a high of 61.98 and a low of 62.37 intra-day. The Reserve Bank of India’s relaxation of minimum maturity tenure for banks’ foreign currency borrowings from three years to one year, using central bank’s swap facility, also aided the rupee to strengthen.