Rupee gains 7 paise against dollar on macro data
The domestic markets opened nearly 0.50% higher, foreign capital inflows continued, and a weak dollar index against other emerging market currencies boosted the rupee on Wednesday.
Rupee firmed up 7 paise to 67.11 against the dollar at the forex market on increased selling of the US currency by banks and exporters amid positive economic data.
Industrial production grew 1.2% in May from a year ago. The provisional 0.8% contraction in April has been revised downwards to -1.34%.
Retail inflation ticked up 5.77% in June as against 5.76% in May.
Apart from the selling of the American unit, a higher opening in the domestic equities, continued foreign capital inflows and weakness in the dollar against other currencies overseas supported the rupee, dealers said.
On Monday, the rupee ended 5 paise down at 67.18 on fresh dollar demand from banks and importers in spite of the sustained rally in the stocks.
Meanwhile, the benchmark BSE Sensex rose 120.62 points, or 0.43%, to 27,928.76 in early trade.