Rupee rises against Dollar | Check latest

The rupee rebounded sharply after hitting a record low against the US dollar for a second time this week.

The rupee on Friday gained against the US dollar in early trade after touching a record low versus the American currency on Thursday. The stock market benchmark indexes Sensex and Nifty rose today. The forex market too followed the share market as India's rupee rebounded 17 paise to 77.33 on Friday morning.

The Indian rupee on Thursday plunged to a record low for a second time this week, hitting 77.63 against the dollar. It settled at 77.5025.

The Sensex on Friday gained 0.56 per cent or 297.68 points at 53,227.99 and the Nifty 50 was up 0.70 per cent or 110.40 points at 15,918.40.

Retail inflation in India galloped for a seventh straight month to touch an 8-year high of 7.79 per cent in April on rising food and fuel prices, raising the odds of an interest rate hike by the Reserve Bank of India (RBI) early next month to tame prices.

With factory output measured in terms of the Index of Industrial Production (IIP) remaining subdued at 1.9 per cent in March, some economists feel that another interest rate hike on the heels of a 40 basis points increase last week may slow economic growth.

Retail inflation (CPI) in April soared to a 95-month high on the back of a surge in prices across all major commodity groups. It was way back in May 2014 that CPI inflation was at 8.3 per cent.

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