Rupee turns strong, appreciates against dollar in early trade

Rupee turns strong, appreciates against dollar in early trade
PTI
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First Published: Mon, Aug 13 2007. 11 35 AM IST
Updated: Mon, Aug 13 2007. 11 35 AM IST
Mumbai, 13 Aug: Rupee turned strong against the US currency and appreciated by about eight paise in morning trade, driven by recovery in equity markets and dollar sale by exporters.
In active trade at the Interbank Foreign Exchange (forex) market, the local currency resumed higher at 40.59/60 a dollar from 10 August close of 40.63/64 per dollar and later touched 40.55 level before being quoted at 40.5650/5750 a dollar in late morning deals.
Selling of dollar by exporters and bounce in local stocks aided the rupee sentiment, forex dealers said.
Exporters were believed to be booking repatriating profits while the benchmark Sensex rallied by 156.96 points in early trade.
Traders, however, said the rupee would face some pressure from the government’s restrictions on external commercial borrowings (ECBs) and Reserve Bank’s decision to raise the ceiling on market stabilisation bonds (MSS). PTI JCG DK SSA
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First Published: Mon, Aug 13 2007. 11 35 AM IST