After touching a week’s high on Tuesday, the rupee closed flat from its previous close of 59.34 against the dollar amid robust flows into the domestic equity market and dollar demand from banks and oil importers.

The Indian unit opened six paise stronger at 59.28 on Thursday and moved in a narrow range of 11 paise between 59.24 and 59.35 at the Interbank Foreign Exchange market.

The BSE benchmark Sensex ended 214 points higher at 25,020 amid strong capital inflows. Forex dealers said the dollar’s strength against other currencies overseas and demand for the US dollar from oil importers limited the rupee’s gain.

Call rates, bond yields drop

The overnight call money rate (the rate at which banks borrow money from each other to overcome short-term liquidity mismatches) ended weaker at 7.60 per cent from its previous close of 8.35 per cent on Wednesday.

Yield on the benchmark 8.33 per cent government security, maturing in November 2023, closed sharply lower at 8.53 per cent from 8.59 per cent. Prices of the security rose to ₹101.94 from ₹101.54.

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