Rupee gains 30 paise against USD, closes at 39.89/90

Mumbai, Sep 20: The Rupee today moved up sharply by about 30 paise, crossed the 40-level mark and nine-year peak of 39.90/91 against U S Dollar, and closed at 39.89/90 on heavy capital inflows in active trade at the Interbank Foreign Exchange (Forex) market.

Rupee made a firm start in early session at 40.05/06 against the dollar, moving up in a volatile foreign exchange market, before it closed crossing the nine-year peak due to heavy inflows triggered by interest rate cut by the US Federal Reserv, dealers said.

The dealers opined that weak dollar overseas and dollar selling by exporters also helped the rupee to move up, despite spiralling global crude oil prices.

Meanwhile, the global crude oil prices remained high over USD 82 a barrel in Asian trade today.

The Reserve Bank of India (RBI) today fixed the reference rate at Rs 39.91 per dollar. The reference rate was up by 35 paise, compared to previous day's rate of Rs 40.26 per USD.

UNI