The Indian rupee declined by 24 paise to Rs 53.10 per US dollar in early trade on sustained demand for the American currency from importers and some banks amid weakness in local equities and dollar firmness in overseas markets.
The rupee resumed lower at Rs 53.00/01 per dollar on the Interbank Foreign Exchange, as against its previous close of Rs 52.86/87 per dollar, and moved down further to Rs 53.10 per dollar before quoting at Rs 53.02/03 per dollar at 1030 hours.
The domestic currency moved in a range between Rs 52.75 and Rs 53.10 per dollar during morning deals.
Sustained dollar demand from importers and banks amid weakness in the equity market and the firming dollar overseas mainly affected the rupee value against the dollar, a forex dealer said.
In New York, the dollar was quoting broadly flat in Asian trading hours yesterday, retaining recent gains as investors exercised caution in light of Europe's debt problems.
