Rupee extends gains, rises 20 paise against US dollar

Rising for the third day, the rupee appreciated 20 paise to 67.20 against the US dollar on continued selling of the American currency by banks and exporters amid robust macroeconomic data.

Data released by the CSO on Thursday showed gross domestic product (GDP) growth in the January-March quarter of 2017-18 was at a seven-quarter high of 7.7%, helping India retain the tag of the world’s fastest growing major economy.

Forex dealers said besides sustained selling of the American currency by exporters as well as banks, a higher opening in the domestic equity market supported the rupee.

However, the dollar’s strength against other currencies overseas capped the gains.

On Thursday, the local currency had edged up by 2 paise to end at 67.41 against the American currency on stray dollar selling by banks and exporters.