Re rises by 30 paise against $ in early trade

The Indian rupee strengthened by another 30 paise to trade at one-year high of 46.36 a dollar in opening trade today, extending its rally for the fifth straight session, as corporates and exporters continued to sell dollars.

Expectations of increased capital inflows into domestic equities which may open higher in line with other Asian markets also supported the Indian rupee.

At the Interbank Foreign Exchange (Forex) market, the local unit appreciated by 30 paise to one year high of 46.36. Yesterday, the Indian rupee ended 22 paise higher at 46.66/67 against the US currency on heavy dollar selling.

Dealers said besides the greenback weakening against major currencies, expectations of a strong opening in the equity markets, in line with firming trends in Asian market, gave a boost to the rupee sentiment.

The rupee is up almost 12.6 per cent from its record low of 52.20 a dollar in early March this year.