The rupee fell by 12 paise to 55 against the American currency in the late morning trade on sustained dollar demand from banks and importers amid weakness in local equities.
The rupee resumed lower at 54.98 against dollar from Monday's closing level of 54.88. It dropped further to 55.08 before quoting at 55 at 1040 hrs.
The domestic currency hovered in a range of 54.95-55.08 during the morning deals.
Forex dealers attributed the decline in rupee's value for the fourth trading day in a row to weakness in local equities amid fresh capital outflows.
In New York, the dollar caught a bid against major currencies late in yesterday trading after stocks fell following comments from President Barack Obama that intensified worries about Washington's ability to keep the US economy from going over the so-called fiscal cliff.
The BSE benchmark Sensex by 165 points, or 0.89%, to 18,454.06 at 1100 hrs.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app