The rupee recovered 11 paisa against US dollar, closing at 63.55 against on fresh selling of dollars by banks and exporters owing to good foreign capital inflows into the equity markets.
Initially it resumed lower at 63.70 per dollar as against previous closing of 63.66 at the Interbank Forex, dropping further to 63.75. However, it recovered to 63.54 on fag-end selling of dollars by banks and exporters before concluding at 63.55 per dollar, flaunting a 0.17 per cent gain.
Dealers said, it moved in a range of 63.75 and 63.54 per dollar during the day and, that the somewhat stable situation in Greece and chances of a Fed rate hike, which sent dollar soaring and Gold hitting a 5-year low also effected the rupee value.
Overseas, the dollar neared a five week high versus the yen in early Asian trade after a top Federal Reserve official added to expectations that US interest rates could be raised as early as September. The dollar index was down by 0.16% against the major currency.
Analysts reported the fall of crude oil prices in the Asian continent, with the US crude falling below $ 50 a barrel, due to the demand for the dollar-priced commodity taking a hit from a strong US currency. The dollar got a boost after Federal Reserve chair Janet Yellen last week stuck to her forecast for an increase in the US central bank's key interest rate later this year, as the economy picks up pace.
