Indian rupee touches near one-week high.

Mumbai: The Indian rupee was trading at 56.36/37 per dollar, after touching 54.3250, its highest since 30 May, and stronger versus its close of 56.44/45 on Tuesday.

Traders say sentiment for the rupee improved after the government and central bank steps on Tuesday. The government is likely to raise the cap on foreign investment in sovereign debt by $5 billion soon, two finance ministry officials said.

Meanwhile, the Reserve Bank of India also extended the restrictions on the import of gold on consignment basis by banks to all nominated agencies and trading houses.

Some traders also cited dollar flows towards the Unilever stake-raising deal, though it was not too large, they said. Unilever Plc plans to pay up to $5.4 billion to raise its stake in its Indian subsidiary Hindustan Unilever Ltd.

The open offer opens 21 June and closes 4 July. HSBC is the manager to the open offer.

Source : livemint.com