MUMBAI: The rupee could test 2009 high for a second day on Tuesday, supported by rising capital inflows but likely Reserve Bank intervention will keep a lid on the rise.
* The partially convertible rupee rose as high as 46.89 per dollar, its strongest since Dec. 19, on Monday before trimming gains to 0.4 percent by close at 46.94/95 against 47.11/12 on Friday.
* Dealers said heavy Reserve Bank intervention between 46.90-47 stemmed the rupee's rise. Three traders estimated the central bank had purchased about $400 million to $600 million in Monday's trading.
* Hefty flows into shares have been a key driver of the rupee's rise since March. Foreigners have pumped a net $4.4 billion into local shares so far in 2009, after having pulled out a record of more than $13 billion last year.
* The dollar steadied on Tuesday after hitting its lowest this year against the euro and a basket of currencies on reassuring economic data.
* One-month offshore non-deliverable forwards were at 46.95/47.05. Nifty stock futures in Singapore were up 0.3 percent, pointing to a firm start.
