Rupee drops by 17 paise vs dollar

The Indian rupee dropped by 17 paise to Rs 44.59 against the American currency in the morning trade on fresh dollar demand from banks and corporates on the back of higher dollar overseas.
    
At the Interbank Foreign Exchange (Forex) market, the local currency resumed lower at Rs 44.46/48 per dollar as against the yesterday's closing level of Rs 44.42/43 per dollar, before moving down further to Rs 44.59 per dollar before quoting at Rs 44.56/58 per dollar at 1030hrs.
   
Renewed dollar demand from banks in view of recovery of dollar in overseas market mainly affected the rupee value against the dollar, a forex dealer said.
  
The dollar turned up against the euro, after last week's low and extended gains against the major world currencies in New York market yesterday as light volume encouraged traders to reverse some positions.