The currency advanced after SEBI data showed that overseas funds bought domestic shares worth US$11mn more than they sold last week, following net sales of US$518mn in the previous five-day period.
Rupee strengthen to close at a two-week high, as stock gains. The currency advanced after SEBI data showed that overseas funds bought domestic shares worth US$11mn more than they sold last week, following net sales of US$518mn in the previous five-day period.
The MSCI Asia Pacific Index of stocks advanced 0.4% today and the Sensex rose 0.9%.
The rupee jumped 0.2% to close at 48.825 a dollar. Eight of the 10 most- active Asian currencies outside Japan strengthened.
Offshore contracts indicate traders bet the rupee will trade at 48.96 to the dollar in a month, compared with expectations for 49.02 yesterday. Forwards are agreements in which assets are bought and sold at current prices for future delivery. Non-deliverable contracts are settled in dollars rather than the local currency.
