Mumbai:- Rising for the second straight session, the rupee today strengthened by another 14 paise to close at 67.07 against the US currency on sustained selling of dollars by banks and exporters in view of good foreign capital inflows.
The rupee resumed marginally lower at 67.24 per dollar against Wednesday’s closing level of 67.21 at the Interbank Foreign Exchange market and dropped further to 67.27 on initial dollar demand from banks and importers.
However, it recovered afterwards to 66.98 on fag-end selling of dollars by banks and exporters before finishing at 67.07, showing a gain of 14 paise or 0.21 per cent.
It has gained by 28 paise or 0.42 per cent in two days.
The domestic currency hovered in a range of 66.98 and 67.27 per dollar during the day.
The dollar index was up 0.16 per cent against a basket of six currencies in the late afternoon trade.
In overseas market, the euro was under pressure as investors stayed cautious ahead of European Central Bank meeting at which policymakers were expected to take further easing steps, while the kiwi skidded after the Reserve Bank of New Zealand surprised with an interest rate cut.
Financial markets have already priced in a cut to the ECB’s deposit rate by at least 0.1 percentage point, to minus 0.4 pct, but the key question is whether the central bank will roll out further stimulus measures.
Meanwhile, the benchmark Sensex dropped by 170.62 points or 0.69 per cent to close at 24,623.34. .
PTI
