Rupee rises from session lows as shares gain

State-run banks are seen buying dollars

The rupee rose from a session low of 60.2450 to trade at 60.09/60.10, as gains in shares helped offset dollar demand from state-run banks. It closed at 60.07/60.08 on Monday.

 

State-run banks have been mopping up dollars for oil- and defence-related payments in the recent sessions, aiding the greenback.

 

Some of this demand could be for the government's effort to pay Iran a part of its oil dues, dealers say.

 

The Nifty is up 0.3%, heading for its first daily rise in six sessions as interest rate-sensitive stocks gained after June consumer inflation slowed to the lowest since figures were first published in January 2012.