Mumbai: The rupee was firm in afternoon trades on Thursday, tracking gains in the euro and local stocks, but month-end dollar demand from oil companies limited the rise.
At 1:50 p.m., the partially convertible rupee was at 44.70/71 per dollar, stronger than the previous close of 44.86/87.
The euro hit a fresh three-week high against the dollar on Thursday after European Central Bank President said “strong vigilance” was warranted on inflation, while it remained supported as Greece moved a step closer to securing international aid after voting in favour of austerity measures.
The euro was at $1.4487 against $1.4438 at end of local forex trade on Wednesday, while the index of the dollar against six major currencies was down 0.37% at 74.408 points.
The local benchmark share index was up over 0.3%.
Oil is India’s biggest import item and local oil refiners are the largest purchasers of dollars in domestic currency market.