Rupee down 18 paise in late morning trade

In spite of the measures taken by the Reserve Bank of India to arrest the declining value of the rupee against the dollar, the Indian currency reacted downwards by 18 paise to 53.60 against the American currency in the late morning trade.

Fresh demand for dollars from banks and importers in view of firm dollar in the overseas market mainly affected the rupee value against the US unit, a forex dealer said.

The rupee resumed lower at 53.49/50 per dollar at the Interbank Foreign Exchange (Forex) market as against the last closing level of 53.42/43 and dropped further to 53.60 before quoting at 53.58/59 per dollar at 10.30 a.m.

The domestic currency hovered in a range of 53.42 per and 53.60 per dollar during the morning trade.

In New York, the US dollar rose higher yesterday, pushing up an index of the American currency’s performance against six major currencies for a ninth straight daily gain — its longest winning streak since August 2008.

The US dollar was lower against the euro through much of the session as Greece looks closer to a political solution and a major Spanish bank garnered some financial support, calming worried investors.

COMMENT NOW