Rupee off lows as foreign banks sell dollars

It had hit a one -week low after Fed cut its stimulus further

The rupee is off one-week low hit in the early session on dollar selling by foreign banks, dealers said. The rupee is at 61.15/16 after hitting an intraday low of 61.40. The unit closed at 60.95/96 on Wednesday.

Foreign fund inflows into stocks, bonds have been the key driver of rupee; totalling $3.6 billion in March.

Most other Asian currencies like the Indonesian rupiah and the Taiwan dollar are weaker against the dollar.

The dollar traded at two-week highs against a basket of major currencies early on Thursday, having posted solid gains after comments from Fed Chair Janet Yellen prompted markets to bring forward interest rate hike expectations.