The Indian rupee recovered from a early fall past 48 per dollar on importer demand for dollars to end stronger on Thursday as another day of gains in shares raised expectations of foreign investment inflows. The partially convertible rupee ended at 47.60/62 per dollar, off an early low of 48.10, its weakest since May 18. The rupee ended at 47.70/71 on Wednesday.
"Capital into shares is driving up the rupee," a trader with a foreign bank, said, adding that export-related inflows for two technology firms also lifted the currency. One-month offshore non-deliverable forward contracts, were quoted at 47.70/80, weaker than the onshore spot rate.