Mumbai: The Indian rupee came off 2-month highs in afternoon trade on Thursday as shares reversed early gains and dropped more than 2% but the strength in other Asian units supported sentiment.
At 2:15pm the partially convertible rupee was at Rs49.57/58 per dollar, off a high of 49.34, its strongest since 17 February and above its previous close of Rs49.70/71.
Indian shares extended losses to more than 2% in after afternoon but quickly trimmed the fall, after an 18 percent rally over the previous eight sessions.
The Indonesian rupiah led Asian currencies higher on Thursday as investors flocked to riskier assets amid hopes of a global economic recovery, but gains were capped by weaker-than-expected China growth data.
In the currency futures market, the most traded near-month contract on the National Stock Exchange and MCX-SX were quoting at Rs49.64 and Rs49.6450 respectively, with the total traded volume on both exchanges at about $678 million.