Dollar closed at 65.3100 against its opening of 64.9800. Dollar extended gains during afternoon trades on buying by nationalised banks mostly for oil importers. US Department of Labour will release inflation data on Wednesday, with Barclays expecting headline CPI to decline by a soft 0.1% in March.  The greenback declined further after official from European Central Bank said policy makers would end their bond buying programme this year. On the contrast, Federal Reserve thrashed expectation of three more rate hikes in 2018, dampening sentiments. The release of US inflation figure later today will give further clarity. While, US producer prices increased more than expected, 0.3% in march from a 0.2% rise in February.Most Asian stock indices traded higher on higher risk appetite after Chinese President Xi Jingping's comments about opening up the world's second largest economy going ahead. Xi said China is taking measures to open up its economy further and will lower tariffs on imports of vehicles and other products.

Sensex provisionally ends 56 points higher with 17 components in the green.

INTERNATIONAL

Asian stocks rose modestly on Wednesday, paring earlier gains as optimism that trade ties between Washington and Beijing were on the mend gave way to questions about the next phase of the diplomatic tit-for-tat between the two countries.

China's factory-gate inflation cooled to a 17-month low in March, probably indicating an ebbing in demand and backing expectations of a broader slackening in economic growth this year as authorities extend a clamp-down on financial risks.

China's factory-gate inflation cooled to a 17-month low in March, probably indicating an ebbing in demand and backing expectations of a broader slackening in economic growth this year as authorities extend a clamp-down on financial risks.

U.S. proposal that automobiles should be built in high-wage areas within the NAFTA region is partly aimed at increasing engine production in the United States, and more details on the plan are expected this week, Mexican officials said.

Bitcoin prices continued to rise on Wednesday, despite a U.S. regulator warned that fraud among crypto investment promoters is “widespread”.

Oil prices fluctuated between mild gains and losses on Wednesday morning in Asia amid rising Middle East tensions and the possibility of air strikes on Syria in the next 72 hours.