Rupee rebounds from historic low

The rupee, on Wednesday, rebounded from the historic low of 72.91 to end higher by 51 paise at 72.18 against the dollar after the FinanceMinistry promised steps to avert its fall to “unreasonable levels”. The rupee hit the day’s high of 71.86, showing a sharp jump of 105 paise from the historic low in afternoon trade on positive sentiment. The currency pared some gains in the last hour of trade to settle at 72.18 to the US dollar, revealing a smart rise of 51 paise or 0.70 per cent – the biggest one-day gain for the domestic unit since May 25. The RBI intervened heavily in the foreign exchange market after the rupee took another plunge threatening to breach the 73-mark, currency dealers said.