Extending its fall for the third session, the rupee on Monday dropped by another 14 paise to close at 66.62 against the US dollar on persistent demand for the American currency from banks and importers amidst lower domestic equities.
Weakness of dollar in the overseas market as well as good foreign capital inflows restricted the rupee’s loss against the dollar, a forex dealer said.
The Indian rupee resumed sharply lower at 66.65 per dollar against last Friday’s level of 66.48 at the Interbank Foreign Exchange (Forex) market and dropped further to 66.76 before concluding at 66.62, showing a loss of 14 paise or 0.21 per cent.
The domestic currency has dropped by 40 paise or 0.60% in the last three trading days.
Meanwhile, the dollar index was down by 0.21 per cent against a basket of six currencies in the later afternoon trade.
The RBI fixed the reference rate for the dollar at 66.6839 and euro at 74.9527.
In cross-currency trades, the rupee continued to fall against the pound sterling to finish at 96.51 from 95.65 on last Friday.
It also dropped against the euro to 74.99 per euro from 74.91 per euro previously.
However, the domestic currency moved up against the yen to 59.94 per 100 yens from 60.08.