MUMBAI, Sept 6 Reuters The Indian rupee ended higher on Friday, tracking gains across regional currencies ahead of the crucial U.S. jobs report that will help investors gauge the extent of a rate cut at the Federal Reserve39;s meeting this month.

The rupee settled at 83.9475 to the U.S. dollar, up from 83.9825 in the previous session. For the week, the rupee fell 0.1.

The Korean won led Asian currencies higher, climbing 0.3 against the dollar. Most other Asian currencies were up at least 0.1.

The dollar index slipped below 101 after disappointing U.S. private payrolls data indicated the labour market was cooling off, fuelling expectations of a weaker jobs report.

Economists polled by Reuters expected 160,000 job additions and an unemployment rate at 4.2.

The jobs data, due on Friday, is expected to sway the Fed39;s decision on whether to cut rates by 25 basis points or 50 bps at their upcoming meeting on Sept. 1718.

If payrolls fall below 100,000 and unemployment creeps higher, the Fed could cut interest rates by 50 bps, resulting in big losses for the dollar, ING Bank said in a note.

Anything closer to the market consensus and a stable unemployment print would make a 25bps cut more likely, the bank said.

Investors will also be watching out for the U.S. inflation print, due next week.

If U.S. inflation is lower than expected in August, it will suggest more pain for the dollar, said Dilip Parmar, a foreign exchange analyst at HDFC Securities.

He expects the rupee…

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