* Rupee ends at 61.75/76 per dlr vs 61.98/99 on Wed
* Bunched-up dollar inflows, exporter sales aid rupee
* INR seen in 61.50 to 62.20 range next week-traders
By Swati Bhat
MUMBAI, Feb 28 (Reuters) - The Indian rupee strengthened to
its highest in more than a month on Friday boosted by bunched-up
dollar inflows and selling by exporters, and aided by gains in
the euro, which improved risk appetite.
The rupee rose 1.5 percent on the month, its biggest monthly
gain since October, after foreign investors bought a net $2.05
billion in debt and stocks in February.
But worries in emerging markets are starting to crop up
again, after a tumbling Chinese yuan cast a shadow in
the region, while political tensions in Ukraine also raised
More immediately, trading will be dominated by
October-December economic growth data due later in the day, with
the rupee expected to hold in a 61.50 to 62.20 range next week
unless there are any major surprises.
"There were inflows through the day today with exporters
also selling alongside the bunched-up flows. The dollar's broad
weakness also added to the positive sentiment in the second
half," said Vikas Babu Chittiprolu, a senior foreign exchange
trader with Andhra Bank.
The partially convertible rupee closed at 61.75/76
per dollar, its highest since Jan. 21. It had closed Wednesday
at 61.98/99. Financial markets were closed on Thursday for a
For the week, the unit rose 0.6 percent.
The rupee opened weaker on the back of global cues and
month-end dollar demand from importers including oil firms, but
exporters and foreign banks stepped in to sell the greenback at
Later, the euro rose to its highest level against the
dollar this year after euro zone inflation came in above
expectations, easing pressure on the European Central Bank to
loosen monetary policy next week.
In the offshore non-deliverable forwards, the
one-month contract was at 62.17 while the three-month was at
FACTORS TO WATCH
* Euro hits 2014 high vs dlr after inflation tops f'casts
* Rouble slides more, hryvnia gains on IMF loan hopes
* ECB easing hopes support shares, anchor yields
* Foreign institutional investor flows
* For data on currency futures
DIARIES & DATA:
Indian Data Watch European diary
Indian diary US Diary
(Editing by Sunil Nair)