Rupee rises by 12 paise at 48.76 a dollar in opening trade

The Indian rupee strengthened by 12 paise against the US dollar in opening trade on Monday on expectations of more capital inflows as market may open higher in line with other firming Asian markets.

Dollar selling by exporters also supported the Indian rupee. At the Interbank Foreign Exchange (Forex) market, the domestic unit appreciated by 12 paise to quote at 48.76 a dollar over the previous close. The Rupee ended 3 paise higher at 48.88/89 on Friday.

Forex dealers said hopes of increased capital inflows, as markets may open with strength, taking cues from other firming Asian markets which are up over 1.5 per cent in the morning trade and dollar selling by exporters, mainly boosted the rupee sentiment.