The rupee dropped 14 paise to 62.28 against the American currency in the late morning trade on good demand for dollar from banks and importers on the back of its firmness in overseas markets.

The domestic unit resumed lower at 62.40 per dollar as against the last closing level of 62.14 at the Interbank Foreign Exchange (Forex) market. It recovered afterwards to 62.24 per dollar before quoting at 62.28 at 10.40hrs (IST).

The Indian unit hovered in a range of 62.24-62.40 per dollar during the late morning deals.

In New York market, the greenback rose broadly on Thursday, propelled by the Federal Reserve’s long-awaited decision to slow its monetary stimulus.

The Fed said on Wednesday it would cut the size of its monthly asset purchases by USD 10 billion to USD 75 billion a month, beginning in January.

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