Rupee trims its initial losses vs dollar, down 7 paise

The Indian rupee trimmed its early losses against the American currency and was quoted lower by seven paise to 62.67 per dollar on mild demand for the greenback from banks and importers on the back of higher dollar in overseas market.

The rupee resumed lower at 62.80 per dollar as against the last closing level of 62.60 per dollar at the Interbank Foreign Exchange (Forex) Market and dropped further to 62.90 on good dollar demand from importers.

However, it recovered afterwards to 62.62 per dollar on mild selling of the US currency by banks before quoting at 62.67 per dollar at 1040hrs.

It moved in a range of 62.62-62.90 per dollar during the morning deals.
In the global market, the U.S. dollar edged up in the early trade, but gains against major rivals appeared limited due to the prospects of extended monetary stimulus by the Federal Reserve.

The ICE dollar index which measures the greenback against a basket of six rival currencies, rose to 80.475 from 80.452 late Monday in North America.

Meanwhile, the Indian benchmark sensex gained 8.88 points and was at 19,909.84 at noon.