Snapping its four-day winning spree against the American currency, the rupee on Tuesday fell by 25 paise to 65.05 on fresh dollar demand from banks and importers despite persistent foreign capital inflows.
The domestic currency opened sharply lower at 64.95 as against yesterday’s level of 64.80 at the Interbank Foreign Exchange (forex) market.
It hovered in the range of 64.86 and 65.06 during the day before finishing at 65.05 per dollar, showing a loss of 25 paise or 0.39 per cent.
The rupee had gained by 38 paise or 0.57 per cent in previous four days.
The trading range for the Spot USD/INR pair is expected to be within 64.75 to 65.40.
The dollar index was traded down by 0.29 per cent in the late afternoon trade as against a basket of six currencies.
Overseas, the dollar gave back some of its overnight gains against the euro today after marking a 10-day high ahead of this week’s European Central Bank meeting, which some investors believe could set the stage for additional stimulus later this year.
