Rupee gains on local shares, euro

Rupee gains on local shares, euro

Mumbai: The rupee rose on Monday boosted by gains in domestic equities and the euro as progress by Europe in tackling the region’s debt crisis improved risk appetite.

The euro and commodity currencies gained ground in Asia on Monday as investors cheered progress on tackling Europe’s debt problems, but traders remained wary as Italy prepares to test market appetite with a bond sale.

The local benchmark share index was up more than 1% with banks leading the gains.

Traders will also watch inflation data around noon for its impact on the local equities and in turn rupee.

The wholesale price inflation probably slowed only a tad to 9.61% in October from 9.72% the month before, as tighter monetary policy had little effect on high food and energy prices, the median forecast in a Reuters poll showed.

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