Rupee trading flat at Rs 51.41 per dollar

The rupee declined by 12 paise to an early low of Rs 51.53 per dollar today on demand for the American currency from banks and corporates, but made a swift recovery to trade flat at Rs 51.41/42 against the dollar at 10:30 am.

The rupee resumed higher at Rs 51.34/35 per dollar on the Interbank Foreign Exchange, as against its previous close of Rs 51.41/42 per dollar, on selling of the American currency by banks and exporters in view of foreign capital inflows into the equity market.

However, the domestic currency failed to maintain the initial gains and dropped to Rs 51.53 per dollar on fresh dollar demand from some banks and importers before quoting at Rs 51.41/42 per dollar at 10:30 am.

The rupee hovered in a range between Rs 51.34 and Rs 51.53 per dollar during morning deals.

Meanwhile, the dollar edged lower against the euro in New York yesterday ahead of a summit of European leaders later this week.