Indian rupee is trading at day's higher level at around 71.50 per dollar on Thursday.

Rupee has extended its morning gain on ease of global trade tension and a possible rate cut by RBI in the upcoming policy after CPI Inflation eased to 2.33 percent and core CPI Inflation was at 5.73 percent in November 18.

The dollar-rupee December contract on the NSE was at 72.11 in the previous session. December contract open interest increased 4.31% in the previous session, said ICICIdirect.

We expect the USD-INR to meet resistance at higher levels. Utilise upsides in the pair to initiate short positions, it added.