Rupee zooms 50 p vs dollar to nearly 4-week high on strong stocks

MUMBAI: The rupee on Thursday rose 50 paise, or about 0.80%, against the US dollar on back of overseas fund flows and dollar sales by exporters, closing the day at nearly four-week high of 62.67 against 63.17 a day earlier.

The single-day gain was the biggest since December 18, 2014, when the local currency had dipped 51 paisa per dollar.

“Contrary to the recent negative developments in global markets, the rupee strengthened for the second straight day on Thursday on fresh dollar selling by exporters and some banks,” said Suresh Nair, director at Admisi Forex. “Talk of foreigners buying domestic debt helped the local currency snap a two-session downward trend,” he said. The rupee has now gained 90 paisa, or 1.42%, in two straight trading sessions. The appreciation came even as the dollar index was up 0.59% against a basket of six major global rivals.