 "Rupee plunges to over two-year low, RBI intervention seen")
The rupee continued its slide against the US dollar in early trade today, falling to a more than two-year low of 66.89.
It recovered somewhat to 66.80 at the Interbank Foreign Exchange on increased month-end demand for the American currency from importers.
Besides, the dollar's strength against other currencies overseas kept pressure on the rupee, forex dealers said. They said, however, a higher opening in domestic equity market capped the losses, they said.
The rupee had tumbled 25 paise to close at over two month low of 66.57 against the US dollar in yesterday's trade on month-end demand for the American currency from importers and banks on the back of higher greenback in overseas markets.
Meanwhile, the benchmark BSE Sensex rose by 64.11 points, or 0.24%, to trade above 26,000-mark at 26,022.74 in early trade today. Asian shares fell and the dollar held near an 8-1/2-month peak on Friday, while the euro hovered around seven-month lows on expectations of additional stimulus from the European Central Bank next week.
It recovered somewhat to 66.80 at the Interbank Foreign Exchange on increased month-end demand for the American currency from importers.
Besides, the dollar's strength against other currencies overseas kept pressure on the rupee, forex dealers said. They said, however, a higher opening in domestic equity market capped the losses, they said.
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The Reserve Bank of India likely sold dollars through state-owned banks to stem the rupee's fall around 66.88 per dollar, three state-owned bank traders told Reuters.
The rupee had tumbled 25 paise to close at over two month low of 66.57 against the US dollar in yesterday's trade on month-end demand for the American currency from importers and banks on the back of higher greenback in overseas markets.
Meanwhile, the benchmark BSE Sensex rose by 64.11 points, or 0.24%, to trade above 26,000-mark at 26,022.74 in early trade today. Asian shares fell and the dollar held near an 8-1/2-month peak on Friday, while the euro hovered around seven-month lows on expectations of additional stimulus from the European Central Bank next week.