Mumbai, Aug 5: The rupee gained two paise to 60.91 against the US dollar in early trade at the Interbank Foreign Exchange market today on increased selling of the American currency by exporters ahead of RBI’s policy meet. A higher opening of the domestic equity market also supported the rupee but the dollar’s rise against other currencies overseas capped the gains, dealers said.

Yesterday, the rupee recovered from four-month low by rising 25 paise in its biggest gain in three weeks to end at 60.93 against the Greenback as shares soared ahead of the RBI’s bi-monthly policy meet and exporters offloaded dollars. Meanwhile, the benchmark BSE Sensex rose 61.03 points, or 0.24 per cent, to 25,784.19 in early trade.