Earlier, the rupee resumed sharply higher at 61.45 per dollar as against yesterday close of 61.70 at the Interbank Foreign Exchange market.
It strengthened further at 61.35 on persistent dollar selling by banks and exporters before quoting at Rs 61.50 at 11:00 am. It hovered in the range of 61.50-61.35 per dollar during the morning trade.
Overall macro outlook and heavy capital inflows into Indian equities supporting the rupee sentiment, dealers said.
In New York, the US dollar were higher in morning trade as the euro slid near an 11-year low after the European Central Bank launched a stimulus programme that would pump hundreds of billions in new money into a sagging euro zone economy.
Meanwhile, the BSE Sensex were trading higher by 206.73 points, or 0.71 percent, to 29,212.75 in late morning trade.