Rupee trims initial gains vs dollar; still up by 3 paise

Surrendering some of its initial gains, the rupee was trading higher by three paise at 59.28 in late morning deals today on mild dollar selling by banks.
The rupee resumed higher at 59.14 per dollar as against the last closing level of 59.31 per dollar at the Interbank Foreign Exchange (Forex) market and firmed up further to 59.10 per dollar in view of recovery in equity market.
However, it failed to maintain initial gains and was quoted at 59.28 per dollar on some dollar demand from banks on the back of higher dollar in global market.
Global foreign exchange markets were holding their breath early today ahead of much-awaited testimony from the head of the Federal Reserve, with the dollar creeping higher after losses in the previous day.

Meanwhile, the Indian benchmark Sensex rose by 119.44 points or 0.60 per cent, to 19,970.67 at 1050hrs.