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The rupee is trading at 61.35/36 versus Thursday's 61.34/35 close.
The Indian unit touched 61.62 earlier, its lowest since August 8.
Month-end dollar demand from importers and a fall in local shares had hurt the rupee earlier. But a recovery in shares and dollar sales by exporters is aiding the rupee.
Nifty is trading flat on the day, recovering from earlier lows.
Some gains in the euro and other majors versus the dollar is also hurting sentiment for the USD/INR pair.
