The rupee is trading at 60.02/03 versus its previous close of 60.0925/1025, after hitting 59.98, its highest since July 14.
The Nifty is trading down 0.26 percent and moves will be monitored for clues on foreign fund flows.
Asian stock markets edge broadly higher after a surprisingly strong reading on Chinese manufacturing bolsters hopes for recovery in the world`s second-biggest economy.
The rupee is seen in 59.90 to 60.20 range during the day.
Importer dollar demand to meet month-end payment commitments will limit gains in the Indian unit.
First Published: Thursday, July 24, 2014, 10:00