Rupee hits 7-month high as shares rally to record

The rupee strengthened to a seven-month high on Monday on the back of heavy foreign flows into both equities and debt, even as most emerging Asian currencies fell after surprisingly weak Chinese trade data.

The partially convertible rupee rose to as much as 60.83 per dollar, its highest since August 12.

It was last trading at 60.84/85 per dollar, compared with its close of 61.08/09 on Friday.

The BSE Sensex closed marginally stronger after earlier posting its third consecutive record high as strong foreign buying continued to boost domestic-focused shares such as HDFC Bank.

Foreign funds have bought $852.10 million in equities and $5.6 billion in debt so far in this calendar year.

Image: A shopkeeper counts currency notes; Photograph: Reuters