Dealers said besides increased foreign funds inflows, gains in euro and Asian currencies against the US currency in the overseas market supported the rupee.
The rupee had closed 53 paise higher at 50.87/88 against the dollar in the previous session on Friday following government's assurance that it will not tax equity investments through participatory notes (P-Notes).
The forex and money market were closed yesterday for annual account closing. Meanwhile, the BSE benchmark Sensex rose by 140.20 points, or 0.80 per cent, to 17,618.35 in early trade. PTI SUN RS DP