Rupee up 26 paise at 59.69 on FII inflows

The rupee was trading strong by 26 paise at 59.69 against the dollar at 11.05 a.m. local time.

The rupee opened 15 paise higher at 59.80 per dollar against the previous close of 59.95 against the American currency on the back of heavy inflows in the domestic equity market.According to a report, the immediate support for USDINR spot is at 59.60. Trading range for the USD/INR is expected to be within 59.60 to 60.20.

Reserve Bank Governor Raghuram Rajan did not spring any surprises by keeping the policy rates unchanged in the central bank’s first bi-monthly monetary policy announcement. As expected, the RBI retained the repo rate at 8 per cent (rate at which it provides overnight funds to banks).The amount of cash that banks have to park with the RBI — the cash reserve ratio — has also been left unchanged at 4 per cent of deposits.