Rupee down 7 paise at 46.78 a dollar in opening trade

The Indian rupee on Wednesday depreciated by 7 paise to 46.78 against the US dollar in opening trade largely in line with other weak Asian currencies.

At the Interbank Foreign Exchange (Forex) market, the domestic unit traded 7 paise lower at 46.78 a dollar.

The rupee had ended one paise down at 46.71/72 against the dollar yesterday after the BSE benchmark Sensex ended 220.39 points, down as sentiments remained low with investors fearing that a rate hike is imminent now on back of rising inflation.

Inflation for November rose to 4.78 per cent from 1.34 per cent in October.

Forex dealers said dollar's gains against other currencies and fears of more capital outflows by foreign funds amid weak Asian markets, mainly weighed on the Indian rupee.