Rupee recovers from 20-month low, ends up by 29 paise

Snapping its 5-session losing streak, the rupee today gained 29 paise to 63.94, recovering from a 20-month low against the American currency on fresh selling of dollars by banks and exporters amid rebound in equities.

The rupee resumed higher at 64.13 as against the last closing level of 64.23 at the Interbank Foreign Exchange market and firmed up further to a day's high of 63.90 per dollar before concluding at 63.94, showing a gain of 29 paise.

Yesterday, the domestic currency had dropped by 69 paise or 1.09 pct to 20-month low to 64.23 per dollar. The rupee had also dropped by 108 paise 1.71 pct during the last five days.

The rupee hovered in a range of 63.90 and 64.17 during the day.

Exporters and banks preferred to reduce their dollar position on hopes of resumption of foreign capital inflows on the back of recovery in the equity market.

In the New York, the dollar stuck in range against most of its major rivals in early trade ahead of US jobs report, but sterling rallied to its highest in just over a week on expectations that British Prime Minister David Cameron's Conservatives will stay in office.

The pound remained at its highest levels in a week today driven by news that the Conservative Party will likely win the UK election, after a night of surprises at the ballot box.

The dollar index was up by 0.20 per cent today against its six major global rivals.

Meanwhile, the Indian benchmark Sensex rose by 506.28 points 1.90 pct to 27,105.39.