Rupee logs biggest gain in two months as exit polls predict return of NDA

Rupee had last seen a similar jump on March 18

The rupee rose 0.69 per cent from its previous close on exit polls indicating strong performance for the incumbent National Democratic Alliance (NDA) government in the Lok Sabha elections.

The possibility of NDA continuing in the government, and offering political stability, would be a strong pull for foreign investors to put their money in Indian assets, and the swing in equity indices reflected that.

Sensex rose 1421.9 points, and Nifty 50 rose 421.1 points, both up 3.7 per cent from the previous close. The rupee reflected that sentiment, strengthening to close at 69.74 a dollar, from its previous close of