Rupee strengthens 7 paise against dollar on increased selling of US currency

The rupee strengthened by 7 paise to 66.47 against the US dollar in early trade on Monday on increased selling of the US currency by banks and exporters.

Forex dealers said besides sustained selling of the greenback by banks and exporters, a higher opening of the domestic equity market backed up the rupee at the Interbank Foreign Exchange.

However, the US dollar's strength against other currencies overseas capped the rupee's gain, they added.

On Friday, the rupee had ended marginally higher by 1 paise at 66.54 against the US currency on mild selling of the US dollars by banks and exporters on the back of lower greenback overseas.

Meanwhile, the benchmark BSE Sensex rose 265.10 points, or 1.05%, to 25,493.60 in early trade.