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The rupee was trading at 71.2450 to the dollar in the afternoon session on Friday.
It opened the day at 71.2600, 28 paise lower on Thursday's close at 70.9700, after rating agency Moody's cut India's rating outlook from stable to negative.
In intra-day trade, the domestic unit hit a high of 71.16 and a low of 71.3350.
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