Mumbai: Erasing initial gains, the rupee Monday lost 14 paise against the dollar in late morning trade due to fresh demand for the US currency from banks and importers amid strong global cues.
The rupee resumed slightly lower at 53.72 per dollar as against the last weekend's level of 53.71 but immediately firmed up to 53.65 on selling of US dollar by banks in view of persistent forign capital inflows into equity market.
However, it declined afterwards to 53.88 per dollar before quoting at 53.85 per dollar at 1040 hrs on some dollar demand from banks and importers.
It moved in a range of 53.65-53.88 per dollar during the morning deals.
The BSE benchmark Sensex rose by 66 points, or 0.33 percent, to 20,104.97 in the late morning trade.
Foreign institutional investors (FIIs) bought shares worth a net Rs 1165.69 crs on last Friday as per provisional data with the stock exchanges.
In New York market, the US dollar rose against most major currencies on last Friday to a weekly gain, with markets offering a surprisingly tepid reaction to unexpectedly strong Chinese growth.
First Published: Monday, January 21, 2013, 10:04