The rupee is trading at 60.21/22 versus its previous day's close of 60.48/49, helped by gains in the domestic sharemarket and other Asian currencies.
The rupee rose to as high as 60.1350 in intraday trade, its highest since July 30.
Traders say demand for the greenback from importers helping limit further losses in the pair.
The South Korean won led small gains in emerging Asian currencies on Wednesday, with regional shares buoyed by hopes Beijing could move to stimulate China's economy and on confidence-boosting U.S. economic data.
The BSE Sensex is trading up 0.3%, not far from its record highs and will continue to be monitored for cues on foreign fund flows.