The rupee fell for the second day on Wednesday losing 30 paise to close at 51.71/72 against the US dollar following sustained dollar demand from importers and late weakness in local stocks.
At the Interbank Foreign Exchange (Forex) market, the rupee had resumed higher on hopes of increased capital inflows and initial firmness in stocks.
However, it fell sharply at the fag end due to late profit-booking in local stocks amid good dollar demand from importers to settle at 51.71/72, down of 0.58 per cent.
In a volatile trading, the BSE benchmark Sensex closed higher by 71.73 points, or 0.43 per cent, on late selling. At the day’s high, it was up by almost 200 points.
The dollar index, an indicator of six major currencies, was up by nearly 0.15 per cent while New York crude oil was trading above USD 101 a barrel in European market today.
“Looking at the global scenario one can expect rupee to trade near 52.00 levels in coming days and the trading range for the Rupee will be 51.25 to 51.75 tomorrow,” Pramit Brahmabhatt, CEO, Alpari Financial Services (India) said.