By Anil Varma Dec. 10 (Bloomberg) -- India’s rupee advanced for a sixth day, the longest winning streak in more than a month, as Asian stock gains added to speculation investors are increasing investment in the region. The currency rose to the highest in more than three weeks after the government announced this week a 200-billion rupee ($4 billion) stimulus package, including a cut in consumption tax, to bolster economic growth. Overseas investors bought more Indian shares than they sold on three of the first five trading days of this month, data from the nation’s capital markets regulator showed. “The rupee’s bias is to strengthen as the region’s stock- market sentiment is generally positive,” said Sudarshan Bhatt, chief currency trader at state-owned Corporation Bank in Mumbai. “Dollar sales may increase as capital inflows improve.” The rupee strengthened 0.8 percent to 49.19 per dollar as of 9:26 a.m. in Mumbai, according to data compiled by Bloomberg. Seven of the 10 most-traded Asian currencies outside Japan gained today. The Indian currency may rise to 49 in the coming days, Bhatt said. The rupee has rebounded 2.8 percent from a record low of 50.615 touched on Dec. 2. The currency’s 20 percent loss this year is the biggest since 1991, when a balance of payments crisis forced the South Asian nation to pawn its gold with the International Monetary Fund to pay for imports. To contact the reporters on this story: Anil Varma in Mumbai at avarma3@bloomberg.net.

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