New Delhi, Aug. 13 -- The Indian rupee opened 6 paise higher against the US dollar on Wednesday, supported by a weaker greenback after softer US inflation data boosted expectations of an interest rate cut by the Federal Reserve. The local currency opened at 87.65 per dollar, compared with its previous close of 87.71.

The dollar index stood at 98.08, after declining nearly 0.5% on Tuesday. Against the yen, the dollar slipped 0.05% to 147.76, while the euro was steady at $1.1676, following a 0.5% gain in the prior session. The British pound inched up 0.03% to $1.3504.

The greenback weakened after US consumer prices rose 0.2% month-on-month in July, in line with expectations. The tame inflation reading lifted the probability of a September...