The rupee is trading at 59.89/90 versus its previous close of 60.05/06 but way off its high of 59.59 as good dollar buying by state-run banks likely on behalf of the Reserve Bank of India (RBI) helped.
Traders, however, said volume in the currency spot market was lower than usual, leading to larger swings.
Dollar demand to the tune of $60-70 million was also seen on behalf of the Haj Committee, a trader said.
The domestic share market moves will continue to be monitored after it hit a third straight record high after exit polls showed Bharatiya Janata Party and its allies winning a majority in the elections.
