The rupee opens higher at 52.91/93 versus its previous close of 53.015/025, tracking improved global risk appetite after stronger-than-expected U.S. retail sales data.
Dealers will watch for oil, gold-related USD demand during the session.
The Sensex gains 0.4 percent, while the MSCI Asia ex-Japan index is up 0.6 percent.
The dollar hovers near a one-week high against the yen, and looks set to tackle key resistance levels.
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