Rupee zooms 25 paise to 64.38 against dollar

Mumbai: Scripting its biggest single-day gain in four weeks, the rupee on Thursday rallied by 25 paise to 64.38 a dollar on heavy selling of the US currency.

The forex market sentiment also got a boost from the domestic equities’ record-setting spree. The domestic unit opened substantially higher at 64.49 from Tuesday’s closing of 64.63 at the Interbank Foreign Exchange market.

Maintaining its strong edge over the greenback, the rupee touched a fresh intra-day high of 64.3350 in late afternoon deals before ending at 64.38, showing a smart gain of 25 paise or 0.39 per cent.

Thursday’s gain was the biggest single-day rise for the rupee since April 13. It touched a low of 64.5750 briefly during the trade.

In the previous trading session on Tuesday, the rupee tumbled 32 paise to end at a fresh three-week low of 64.63 against the resurgent dollar.

Healthy FII inflows into equities and debt also supported the recovery momentum.

The overall forex market sentiment was high on expectation of good monsoon reviving rural demand, soft interest rates and strong lending growth for the region’s third largest economy. (PTI)