Rupee rises from 2 year low, tracking euro rise; US Fed eyed

MUMBAI: The Indian rupee rose on Wednesday to pull back further from a two-year low touched in the previous session helped by a firm euro and domestic equities.

Traders said the outcome of the US Federal Reserve's two-day meeting which started Tuesday was keenly awaited as the Fed is expected to announce a rebalancing of its portfolio to help push longer-term interest rates lower and boost growth.

At 9:16 a.m., the partially convertible rupee was at 47.89/90 per dollar, stronger Tuesday's close of 48.05/06 when it had hit 48.24, a level last seen Sept. 25, 2009.

The euro was $1.3715, higher from $1.3682 at end of rupee trade on Tuesday, while the index of the dollar against six major currencies was 76.929 points from 77.105 previously.

The local benchmark share index was up more than 0.2 per cent in early trade after jumping more than 2 per cent on Tuesday