Rupee opens higher at 44.70/72 against US dollar

Mumbai, Dec 20 (UNI) The Rupee today opened higher by six paise and was quoted at 44.70/72 per US dollar against the yesterday's close of 44.76/77 per USD, dealers said.

The Indian Rupee rose tracking other Asian currencies, which rebounded after Thailand relaxed capital controls, but the domestic market remained wary and awaited cues from the stock market on fund flows.

Later, the Rupee was at 44.7250/7350 per dollar, marginally firmer from the previous close of 44.76/77. It hit an intra-day high of 44.66 in early trade, as exporters sold dollars after the Indian unit rebounded.

Market awaited the rate outlook for euro-zone from European Central Bank. President Jean-Claude Trichet is due to testify before the European Parliament in Brussels on Wednesday.

The dollar fell against the euro after a buoyant German business sentiment survey suggested firms were withstanding a higher exchange rate. The euro hit a record high versus the yen.

Market will follow local share prices to gauge foreign fund flows. India's 30 share index was slightly higher, after slipping 2.5 per cent in the previous session.

The rupee is up more than five per cent from a three-year low of 47.04 in July, on strong foreign fund inflows, which have topped Rs 840 crore this year, dealers added.

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