Indian Rupee Surges to 2-1/2 month high of 67.08 Friday March 04,2016

 

Extending its rally for the sixth straight session, the rupee today surged to a fresh 2-1/2 month high of 67.08 by gaining another 26 paise against the American currency on persistent selling of dollars by banks and exporters. 

Robust FII inflows into the equities and debt predominantly supported the domestic currency to sustain its momentum for the sixth consecutive day. 

Significant liberalisation of FDI norms in a host of sectors including insurance, pension, ARCs and stock exchanges in the Union Budget to attract more foreign investment and the government’s commitment to its fiscal deficit target also largely weighed on the trade. 

Maintaining its strong edge against the dollar, the home unit resumed higher at 67.25 as compared to Thursday’s closing value of 67.34 at the Interbank Foreign Exchange market owing to smooth supply of dollars from banks. 

It gained further ground tracking sluggish dollar overseas sentiment and kept the momentum going till the fag-end to conclude at 67.08, revealing a solid rise of 26 paise, or 0.39 per cent - its strongest close since 67.09 on December 14, 2015.