The Indian rupee ended at a two-week high on Monday as the dollar weakened against major currencies following strong economic data in Japan and the euro zone. In early trade, the partially convertible rupee firmed past the psychologically important 46.50 level.
This triggered demand for dollars, pushing the rupee lower from the day's high of 46.45. The partially convertible rupee ended at 46.55/56, up from Friday's close of 46.685/695. It hit a three-year low of 47.04 on July 19.
"Almost all the factors that drive the rupee were positive today," a dealer with a private sector bank said. But he said the rupee's recent weaker bias against the dollar would continue due to the "demand-supply mismatch."