Rupee opens stronger at 42.78/80 against USD

Mumbai, Apr 13: The rupee today opened stronger at 42.78/80 paise against the per US dollar as compared to the yeterday's close of 42.85/86, dealers said.

It traded in a range with a bias tipping to the weaker side amidst the presence of fair amount of importer demand, especially from oil companies, dealers informed.

Later, the domestic unit registered a low of 42.80/82 and a high of 42.75/76 in the mid-day morning session.

Apart from fresh flows, liquidation of dollars by traders ahead of the first impact of the cash reserve ratio (CRR) hike brought the rupee off lows.

Forward USD premia started the day lower but was higher by upto 8 paise by the intra day trade, dealers said.

The USD slumped across the board, as selling against Euro widened into other pairs, ahead of the G7 meeting. Comments by European Central Bank (ECB) chairman Jean-Claude Trichet triggered dollar selling and as support for the yen emerged in view of the G7 meet, the dollar witnessed a wave of liquidation. Higher jobless claims added to the impact of the above two factors, dealers added.

UNI