The Indian rupee dropped by 23 paise to 49.42 against the US currency in late morning trade on fresh dollar demand from importers.
The rupee resumed lower at 49.35/36 per dollar at the Interbank Foreign Exchange (Forex) market as against the last closing level of 49.19/20 per dollar and dropped further to 49.42 per dollar before quoting at 49.29/30 per dollar at 1030 hrs.
The domestic currency hovered in a range of 49.28 per dollar and 49.42 per dollar during the morning deals.
Fresh dollar demand from importers at the current stage mainly affected the rupee value against the dollar, a dealer said.
Meanwhile, crude oil prices sank in Asia today as eurozone debt worries rose to the fore once again after Moody's slashed the ratings and outlooks of key European countries. New York's main contract, light sweet crude for delivery in March, fell 25 cents to $100.66 a barrel.
