The Indian rupee today inched up by a paisa against the American currency to end at 62.26, extending its winning streak to seventh straight session—the longest string of gains since June 2011.
The rupee opened higher at 62.20 per dollar as against yesterday’s closing level of 62.27 per dollar at the Interbank Foreign Exchange (Forex) Market. It then firmed up further to 62.14 per dollar on initial selling of dollars by banks and exporters in view of sustained capital inflows.
Expectations that the US Federal Reserve will not tighten its monetary policy until the second half of the year has helped emerging market currencies like rupee to gain.
However, the rupee trimmed its initial gains on some dollar demand from banks and importers and ended at 62.26, showing a marginal gain of one paise or 0.02 per cent.
The rupee has now gained 71 paise or 1.13 per cent against the US dollar in seven straight trading sessions.
In the Asian market today , the euro fell against the dollar and the yen, with some traders adjusting positions after the currency staged a rally overnight.
The dollar index, a gauge of six major global rivals, was down by 0.19 per cent today.
In New York Market yesterday, the dollar traded lower against its rivals yesterday after recording its largest weekly percentage decline against the euro since October 2011.
Oil prices declined in the Asian trade today after activity in China’s factory sector fell to an 11-month low, stoking worries over the strength of the world’s No.2 economy.
Meanwhile, the Indian stock benchmark Sensex ended lower by 30.30 points, or 0.11 per cent, to 28,161.72.