The Indian rupee hit a fresh four-month high of 66.34 against the dollar in early trade and was trading at 66.38 at 10.20 am IST.
The rupee rallied against dollar on persistent selling of the US currency by banks and exporters.
65.162 United States Dollar
Strong foreign fund inflows, weakness of the dollar against other currencies overseas after data showed activity in the US service sector slowed sharply last month, and a higher opening in the domestic equity market boosted the rupee value against the dollar, as per PTI report.
On Tuesday, the rupee surged by 30 paise to end at near four-month high of 66.52 in yesterday's trade on weak dollar after US jobs data eased fears of expected rate hike by the Federal Reserve.
Meanwhile, the benchmark Sensex and Nifty were trading flat in a volatile trade.