Rupee extends gains on WPI; exporters sell

Reuters Market Eye - The rupee extends gains after headline inflation eases further, holding out some hopes for a rate cut, say dealers. The pair is at 57.64/65, off 57.93 highs, versus 57.98/99 Thursday close.

Local stocks extend gains, up 1.6 percent.

The headline inflation slowed for a fourth straight month in May to 4.7 percent from a year earlier.

Exporters selling to take advantage of better rates, dealers add.

A Reuters poll, however, showed that a majority expect RBI to hold rates on Monday.

USD/INR up 1 pct for week, heading for a sixth straight week of gains.

(Reporting by Subhadip Sircar)