The rupee trimmed its initial gains and was quoted at 54.76 per dollar on renewed dollar demand from banks.
Mumbai: The rupee trimmed its initial gains against the American currency but was still quoted up by 9 paise to 54.76 per dollar in the late morning trade on mild selling of dollars by banks and exporters ahead of the Reserve Bank's mid-quarter monetary policy review meeting.
The rupee resumed higher at 54.70 per dollar as against the last closing level of 54.85 per dollar at the Interbank Foreign Exchange (Forex) Market on selling of dollars by banks in view of persistent foreign capital inflows into equity market.
However, it trimmed its initial gains and was quoted at 54.76 per dollar at 1040 hrs on renewed dollar demand from banks on the back of higher dollar in overseas market.
It moved in a range of 54.70 per dollar and 54.81 per dollar during the morning trade.
The BSE benchmark Sensex firmed up by 36 points, or 0.19 percent, to 19,280.90 at 1045 hrs.
In New York market, the dollar climbed against the yen yesterday, touching its strongest level since April 2011, as a landslide win for the Liberal Democratic Party reinforced expectations of further monetary easing in Japan.