Rupee gains 28ps to close at 94.94/$

Mumbai: The rupee gained 28paise to close at nearly two-month high of 94.94 against the US dollar on Tuesday on robust domestic growth, controlled fiscal slippage and portfolio-related inflows. Forex traders said recent MSCI-linked inflows are offering temporary support to the rupee.

Moreover, the Reserve Bank of India (RBI) might have intervened to support the domestic currency, they said. At the interbank foreign exchange market, the rupee opened at 95.06 and touched an intraday high of 94.79 and a low of 95.10 during the session.

At the end of Tuesday’s trading session, the rupee was quoted at 94.94, higher by 28 paise from its previous close. On Monday, the rupee settled 21 paise higher at 95.22 against the US dollar. “The Indian rupee gained on possible intervention by the RBI and upbeat macroeconomic data.

However, weak domestic markets and a surge in crude oil prices capped sharp gains,” said Anuj Choudhary, Research Analyst, Mirae Asset ShareKhan. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 99.58, higher by 0.15 per cent.