Extending its rising streak, the rupee appreciated by 41 paise to trade at fresh 10-month high of 58.88 against the dollar in early trade on Friday on foreign capital inflows on expectations of stable government at the Centre.
The rupee had gained 39 paise to close at a nearly 10-month high of 59.29 against the dollar on Thursday. On Friday, it gained further on sales of the US currency by banks and exporters.
Besides, strong opening of the domestic equity market which soared to an all-time high of 24,930.42, dollar's weakness against other currencies overseas also supported the local currency, forex dealers said.
Meanwhile, the benchmark BSE Sensex zoomed by 1,024.82 points, or 4.29 per cent, to trade an new record high of 24,930.42 in opening trade on Friday.