The Indian rupee today pared its early gains and fell to 50.02/03 a dollar in late morning deals due to volatile stock markets.
Activity was at low ebb due to long weekend holidays, starting tomorrow. The forex and money market will remain closed on April 10 on account of 'Good Friday'.
In quite trade at the Interbank Foreign Exchange (Forex) market, the domestic unit slipped below 50-level in opening trade, but later was quoted at 50.02 a dollar, down by five paise, against the US currency from the overnight close of 50.18/19. The local unit recovered 16 paise against its previous close.
It moved in a range of 49.95 and 50.07 per dollar. Yesterday, it was down by 14 paise.
Forex dealers said strong equity market in opening trade led to the recovery in the rupee. The Indian benchmark Sensex was up by 91 points or 0.85 per cent at 1015 hrs, but it declined by 86 points at 1030 hrs.
Foreign Institutional Investors (FIIs) continued their buying spree and they pumped in USD 273.50 million in three trading session since April 1.
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Asian indices also exhibited a firm trend in their early trade due to overnight rally on Wall Street.
Taiwan's weighted index was up by 3.52 per cent, Kospi by 2.92 per cent, Nikkei by 2.77 per cent, Straits Times by 2.02 per cent and Hang Seng by 1.95 per cent.