Analysts at Westpac Banking Corp., including Robert Rennie, Sydney-based chief currency strategist, recommend buying India’s rupee against the Taiwan dollar. The comments were published today in a research note. The rupee advanced 0.3 percent to 50.285 against the U.S. dollar as of 12:19 a.m. in Mumbai, taking this month’s gain to 5.6 percent, according to data compiled by Bloomberg. It gained 4.3 percent since Dec. 31 against the Taiwanese currency. “The rupee continues to strengthen as the Indian government does more to encourage capital inflows and the risk of stagflation recedes somewhat. ‘‘The dollar has already fallen a long way against the rupee and the better way to play long-rupee may be through shorting the Taiwanese dollar against the rupee, which offers very attractive carry rates. ‘‘Next week sees the Reserve Bank of India decision on Tuesday, with inflation pressures still too strong to warrant a rate cut just yet.’’ To contact the reporter on this story: Jeanette Rodrigues in Mumbai at jrodrigues26@bloomberg.net To contact the editor responsible for this story: Sandy Hendry at shendry@bloomberg.net

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