Mumbai: The rupee dropped 22 paise to Rs. 61.29 against the U.S. dollar in early trade on Monday at the Interbank Foreign Exchange market on fresh demand for the American currency from importers.
The rupee had gained 4 paise to close at a new three-month high of Rs. 61.07 against the U.S. dollar on Friday helped by heavy capital inflows.
Forex dealers said a weak opening in the domestic equity market also weighed on the rupee, but the dollar’s weakness against the euro limited the fall of the local currency.
Meanwhile, the benchmark BSE Sensex fell by 47.30 points, or 0.22 per cent, to 21,872.49 in early trade today.