The Indian rupee plummeted by 48 paise to Rs 53.45 per US dollar in early trade today on sustained month-end demand for the American currency from importers and some banks amid weakness in the domestic stock market.
The rupee resumed lower at Rs 53.35/36 per dollar on the Interbank Foreign Exchange, as against its previous close of Rs 52.97/98 per dollar, and declined further to Rs 53.45 per dollar before quoting at Rs 53.40/41 per dollar at 1030 hours.
The domestic currency moved in a range between Rs 53.20 and Rs 53.45 per dollar during morning deals.
Month-end dollar demand from importers, mainly oil refiners, coupled with a higher dollar in overseas markets, affected the rupee value against the dollar, a forex dealer said.
In New York, the US dollar moved up against major currency rivals yesterday, pushing down the euro to its lowest level since September, 2010, in the wake of the release of data on European Central Bank lending operations.
Meanwhile, the BSE benchmark Sensex fell by 92.37 points, or 0.59%, to 15,635.48 in early trade today.