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Rupee bounces back, steady against dollar
MUMBAI — The rupee bounced back after resuming weak and was quoted almost steady against the US currency in late morning trade, buoyed by a strong rally in equity market.
The benchmark Sensex this morning zoomed past 14,000- mark, registering a whopping rise of 205 points on the back of good FII inflows into equity markets.
In fairly active trade at the Interbank Foreign Exchange (forex) market, Indian unit resumed sharply lower at 41.26/28 a dollar from Monday's close of 41.19/20 a dollar but later recovered smartly to 41.20/21 a dollar in later morning deals.
Crediting the rupee's recovery from early lows to strong equity markets across the world, forex dealers said the local currency, however, remained under pressure due to the dollar's rise against its rivals in overseas market.
In overseas markets, the dollar jumped to a two-month high against the yen on Wednesday.
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