Reuters Market Eye - The rupee trims losses to trade at 58.83/85, off its record low of 58.95 hit earlier in the session, but still much lower than its close of 58.15/16 on Monday.
Traders say dollar selling by exporters and a mild recovery in the domestic share market hurting the pair. The Nifty is trading down 1.18 percent, recovering slightly from a fall of as much as 1.63 percent.
Most dealers rule out any intervention by the RBI so far in the market, citing largely brokerages and foreign banks being on the sell side.
The probability of hitting 59 to the dollar later in the day continues to exist as market is less liquid than normal, meaning even small demand can push up the pair, traders say.
