Mumbai: The rupee weakened by 59 paise to 58.46 against the American currency in the late morning trade on sustained dollar demand from banks and importers on the back of higher dollar overseas amidst capital outflows.
The rupee resumed lower at 58.25 per dollar as against the last closing level of 57.87 per dollar at the Interbank Foreign Exchange (Forex) Market and dropped further to a low of 58.46 per dollar at 1040 hrs.
It hovered in a range of 58.22 per dollar and 58.46 per dollar during the late morning deals.
Persistent dollar demand from banks and importers in view of firm dollar overseas mainly affected the rupee value against the dollar, a forex dealer said.
In the global market, the US dollar gained against the major rivals in their early trade, on prospects of a cut in the country's interest rate.
Meanwhile, crude oil prices rose in Asian trade today, fuelled by growing concern over the Syrian conflict and political unrest in Turkey.
The BSE benchmark Sensex was trading lower by 21.22 points, or 0.11 percent, to 19,304.65 at 1055 hrs.