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The rupee firmed up by 14 paise to 67.54 against the dollar today following sustained selling of the US currency by exporters and banks, with a higher opening in the equity market backing it up.
Forex dealers said weakness in the dollar against some other currencies overseas provided added momentum to the rupee.
Fresh inflows by foreign funds and a higher opening in domestic stocks gave the uptrend a leg to stand on.
Yesterday, the domestic unit had gained 27 paise to close at 67.68 on dollar selling by lenders and exporters amid firming stock markets.
Meanwhile, the benchmark BSE Sensex rallied 240.72 points, or 0.90 per cent, to 26,981.11, in early trade today.
