| Date: |
16-05-2014 |
| Subject: |
Indian rupee opens at 58.91/USD on election results day |
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The Indian rupee opened sharply higher on the election results day. The rupee gained 38 paise at 58.91 against previous day closing of 59.29.
The rupee gains past 59 per dollar for the first time since July 29, 2013.
The rupee strengthened to its highest level in about 10 months on Thursday, while also posting its biggest single-day gain in nearly three weeks on the back of sustained dollar inflows into domestic shares ahead of election results.
Hopes that the Bharatiya Janata Party and its allies will win an outright majority have helped fuel gains in shares, given the perceptions that the opposition party is more business and reform friendly.
But broader gains in the rupee have been capped in recent sessions as the Reserve Bank of India has been an active buyer of dollars, according to traders.
Source : moneycontrol.com
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