MUMBAI: The rupee rose for the second straight day on Thursday boosted by higher Asian currencies and local stocks. However, dollar demand for defence payments may continue in mid-morning trade which could thwart any sharp rise in the rupee.
* At 9:28 a.m., the partially convertible rupee was at 44.96/97, slightly firmer than Wednesday's close of 45.055/065. The unit had fallen to a two-month low of 45.18 on Monday due to the large pullout by foreign investors from local shares. Traders expect the rupee to move in 44.85-45.05 band.
* Forward dollar premium is expected to remain steady following return of risk appetite in Asian equities. The one-month onshore forward premium was steady at 22.25 points. It had fallen to 21.75 points on Monday from 28.
* Indian shares rose 0.4 percent early on Thursday tracking mostly higher Asian markets.
* The euro edged up in early Asian trade, extending its recovery from a seven-week low as commodity prices steadied after weeks of falls, though it is still seen vulnerable due to uncertainty over the Greek debt crisis.
* Asian currencies were also stronger compared to the dollar. For a snapshot, see
* The index of the dollar against six major currencies was down 0.37 percent at 75.199 points. It was at 75.382 when the rupee market closed on Wednesday.
