Rupee gains 40 paise against US dollar in opening trade

Mumbai, Dec 1: The Indian rupee gained 40 paise to Rs 51.80 per dollar in morning trade on the Interbank Foreign Exchange on Thursday, tracking gains registered by the euro and Asian peers against the U.S. dollar amid a strong opening in the domestic equity market.

Dealers said apart from a higher opening in the equity market, gains made by the euro and other currencies against the dollar overseas after coordinated action by central banks to pump liquidity into the global financial system gave support to the Indian rupee.

The rupee had lost 18 paise to close at Rs 52.20/21 against the dollar in the previous session on sustained demand for the American currency from importers.

Meanwhile, the BSE benchmark Sensex shot up by 590.91 points, or 3.66 per cent, to 16,714.37 in opening trade today.

PTI