On Wednesday, the rupee surged 42 paise to a nearly two-week high of 76.20 against the US dollar, tracking higher domestic stocks and Asian currencies ahead of the US Federal Reserve's rate hike announcement.
The local currency opened at 76.40 against the US dollar on the interbank forex market, floating with an intra-day high of 76.19 and a low of 76.44. The rupee provisionally closed at 76.20, up 42 paise from its previous finish of 76.62.
The Federal Reserve of the United States is expected to boost interest rates by 25 basis points, with more hikes planned this year as inflation rises. The dollar index, which measures the strength of the greenback against a basket of six currencies, dropped 0.38 percent to 98.72.
The global oil benchmark, Brent crude futures, rose 1.14 percent to USD 101.05 per barrel.
The BSE Sensex finished 1,039.80 points higher, or 1.86 percent higher, at 56,816.65, while the broader NSE Nifty advanced 312.35 points, or 1.87 percent, to 16,975.35. According to stock exchange data, foreign institutional investors were net sellers in the capital market on Tuesday, offloading shares worth Rs 1,249.74 crore.
Sensex scales up 1,040 Pt, Nifty settles above 16,950
