Indian Rupee Reaches Two-Month High

RupeeThe Indian rupee has just reached a two-month high this Wednesday, as it hit 44.3825/3850 per dollar at 11:42am. This has been its highest since May 3 when it reached 44.3350. It seems the Indian economy is seeing better days, and has edged 0.1% higher, even during difficult trading times.

The Asian market is also seeing some promising stats, as most Asian currencies were stronger than the US dollar.

"USD/INR is gaining on the back of strong portfolio inflows", said Ashutosh Raina, Head of forex trading at HDFC Bank.

As for the European market, they are still trying to get their feet back on the ground after having to deal with Greece’s debt crisis. The euro has regained some ground and has developed short-term players covered.

The Bombay Stock Exchange benchmark Sensex has nearly regained 19,000 in early trading but only made up 52 points by the end of the day.

The rupee remains persistent and is putting pressure on the banks and corporate. However, against the pound sterling, the rupee reacted downwards to end at 71.51/53 at the end of last Friday.