Mumbai: India's rupee strengthened for the sixth day yesterday, its longest winning streak since September, on speculation global funds will add to holdings of the nation's assets to benefit from the improving economy.
Overseas investors bought $518 million (Dh1.9 billion) more Indian equities than they sold in the four days through December 2, contributing to this year's net purchases of more than $29 billion, data show.
"The rupee will continue to appreciate because of inflows," said A.Y. Shedshale, deputy general manager at Bank of Maharashtra.
The currency climbed 0.7 per cent to 44.6450 per dollar at close in Mumbai, according to data compiled by Bloomberg. The rupee earlier touched 44.61, its strongest level since November 12. Offshore forwards indicate the rupee will trade at 45.26 to the dollar in three months.
