Rs rallies 40 paise

Mumbai: The Indian rupee on Friday rose by 40 paise to settle at 70.94 to the US dollar after forex market sentiment was buoyed by the government decision to slash corporate taxes.

At the interbank foreign exchange market, the local unit opened on a strong note at 71.19 and shuttled between a high of 70.68 and a low of 71.19 during the day. The domestic currency finally settled at 70.94, higher by 40 paise over its previous close. The local unit had settled at 71.34 against the US dollar on Thursday.

On a weekly basis, the Indian rupee lost 2 paise.

Meanwhile, crude oil benchmark, Brent Futures on Friday was trading at USD 64.90 per barrel, higher by 0.78 per cent.

Foreign institutional investors (FIIs) were net buyers on Thursday, provisional exchange data showed. The 10-year government bond yield was at 6.79 per cent.The dollar index, which gauges the greenback's strength against a basket of six currencies, rose by 0.15 per cent to 98.42.