The Indian currency declined further by 23 paise to trade at Rs 44.70 per US dollar during morning trade today owing to constant demand for the American currency from banking institutions as well as importers considering dollar strength in worldwide markets amid feeble domestic equities in spite of inflows from foreign funds. The Indian unit started the day on a low note at Rs 44.57/58 per dollar on the Interbank Foreign Exchange as compared to its earlier closure of Rs 44.47/48 per dollar and slipped further to Rs 44.70 per dollar before ruling at Rs 44.63/64 at 10:30 hours. The domestic currency moved in a range between Rs 44.55 per dollar and Rs 44.70 per dollar in morning deals. Continued dollar demand from banking institutions plus importers on account of the higher dollar in foreign markets largely hit the value of the Indian rupee as against the dollar. The euro declined to a 7-week low as against the US currency and hit a record high as compared to the Swiss franc on July 11 in the New York market on worries that Europe's debt disaster could engulf Italy. In the meantime, the 30-share index BSE Sensex declined 172 points (0.92%) during morning trade today.

Source