Mumbai: The Rupee dropped by seven paise to 55.13 against the American currency in late Monday morning trade on mild dollar demand from banks and importers amid its higher value overseas.
The rupee resumed lower at 55.10 per dollar as against the last weekend's level of 55.06 at the Interbank Foreign Exchange (Forex) Market and dropped further to 55.21 before quoting 55.13 at 1040 hrs.
Persistent dollar demand from banks and importers in view of its higher value in overseas market mainly affected the rupee value, a forex dealer said.
In New York market, the US dollar steadily made gains against other currencies in a safe-haven bid on last Friday as the growing political drama over avoiding the US fiscal cliff made investors more pessimistic that a deal will be reached by the end of the year.
Meanwhile, the Indian benchmark BSE-30 share index, Sensex, firmed up by 59 points, or 0.30 per cent, to 19,300.66 at 1055 hrs.
First Published: Monday, December 24, 2012, 10:00