Mumbai: Rupee rises to 55.03/04 from its 54.48/49 close on Wednesday in choppy trade as dealers await the ECB rate decision due later todayy, where it is widely expected to cut rates.
The euro steadies versus the dollar but looks vulnerable to selling as market players brace for a widely expected interest rate cut by the European Central Bank.
The benchmark BSE index gains 0.5%. Analysts have sharply lowered their bearish bets on the Indian rupee due to mounting hopes for reforms since the Prime Minister Manmohan Singh temporarily took over the running of the finance ministry, a Reuters positioning poll showed.
