Rupee up at 40.56/57, close to nine-year peak

Mumbai, May 21: The rupee was up today at 40.56/57 per dollar, rising sharply to near a recent nine-year peak of 40.53, as compared to the previous close of 40.70/71.

The gains in rupee were boosted by the investors' belief that the Reserve Bank of India (RBI) would not check domestic unit's gains, as China has widened the yuan's trading band against dollar.

In the morning session, there was a strong demand for dollars by oil importers, dealers said.

News of the yuan's greater flexibility and the Chinese rate hike spurred Asian currencies to firm against the dollar across the board today, they added.

UNI