Mumbai: The rupee surrendered its initial gains against the dollar, losing six paise to 55.18 in the late morning trade Thursday on fresh demand for the US currency from banks and importers.
Forex dealers said weakness in American currency against foreign currencies in the overseas market limited the local unit's fall.
The rupee resumed higher at 55.08 a dollar against the last closing level of 55.12 at the Interbank Foreign Exchange (Forex) Market. It firmed up further to 55.01 on selling of the American currency by some banks.
However, it failed to maintain gains and was quoted lower at 55.18 per dollar at 1040 hrs.
In New York, the US dollar slipped and the euro regained its footing versus major rivals yesterday, after euro-zone finance ministers and International Monetary Fund officials once again failed to reach a deal on aid for Greece.
Meanwhile, the BSE benchmark Sensex firmed up by 33 points, or 0.18 percent, to 18,493.22 at 1050 hrs.
PTI
First Published: Thursday, November 22, 2012, 10:17