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The Indian rupee rallied past 82 per U.S. dollar on Friday to reach a one-month high, helped by equity inflows and broad dollar weakness.
The rupee traded at 81.9775 by 1:45 p.m. IST, against its previous close of 82.5925 and was eyeing its best trading session since Nov. 11.
Foreign institutional investors bought Indian stocks worth 127.7 billion rupees ($1.56 billion) on March 2, according to provisional data from the exchanges.
Traders attributed the inflow to GQG Partners' near $2 billion investment in Adani stocks.
Meanwhile, the dollar index declined to 104.72, lifting Asian currencies.
The next key level to watch would be 81.80, a trader said. ($1 = 81.9950 Indian rupees) (Reporting by Anushka Trivedi)