The rupee on Wednesday strengthened by 28 paise to 53.49 against the US dollar in early trade on the Interbank Foreign Exchange after the RBI cut lending rate and cash reserve ratio (CRR) by 0.25 per cent each on Tuesday to perk up economic growth.

Forex dealers said increased selling of the American currency by exporters and a higher opening in the equity market also helped the rupee sentiment.

The rupee had gained 14 paise to close at Rs 53.77 against the US currency in Tuesday’s trade.

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