Rupee opens higher at 44.18/19

Mumbai, Mar 16 (UNI) The rupee today opened higher at 44.18/19 per dollar against 44.22/23 on the previous day's close, dealer said.

The Indian rupee strengthened against the dollar on Friday after the US currency fell to a three-month low against the euro, but investors were vigilant for signs of equity-related outflows and Central Bank intervention.

Later, the partially convertible rupee was fluctuated at 44.15/17 and 44.24 per dollar, on alternate bouts of buying and selling of dollar by local opeators.

Market suspect the Reserve Bank of India's (RBI) intervention in a bid to stem the strength of the rupee, which has gained about 6.5 per cent since hitting a three-year trough last July.

The market widely believes the Central Bank played an active role in February too, when the rupee was blocked at 16-months highs near 44 per dollar.

Foreign investors have invested a net USD 1.03 billion in Indian equities in 2007, but are net sellers of about USD 258 million so far in March, a leading banker added.

UNI