Mumbai: The rupee trimmed its initial losses against the American currency in late morning deals but was still trading lower by 6 paise to 62.97 on dollar demand from from banks and importers.
The rupee resumed lower at 63.15 per dollar as against the last closing level of 62.91 at the Interbank Foreign Exchange market.
It moved in a range of 63.15 and 62.95 per dollar during morning deals before quoting at 62.97 at 1100hrs.
Oil prices eased in Asia as dealers weighed China's fresh monetary stimulus against a supply glut in the US, analysts said.
In the New York market, the euro traded lower against the dollar yesterday after markets showed concerns that debt negotiations between Greek officials and the Mediterranean country?s creditors have yielded little progress.
Meanwhile, the Sensex was trading lower by 36 points, or 0.13 percent, to 27,850.17 at 1105hrs.
Pramit Brahmbhatt, Veracity Group CEO said: "Rupee for the
day ended slightly stronger. For the last two sessions rupee had weakened by almost 1 percent against the dollar. Though for the day exporters were seen selling dollar, which helped it to trade firm. The trading range for the spot USD/INR pair is expected to be within 62.30 to 63.30."
In the forward market, premia continued its decline on sustained receivings by exporters.
The benchmark six-month premium payable in September moved down to 208-210 paise from 211-213 paise yesterday and forward contracts maturing in March 2016 also dropped to 426-428 paise from 430.5-432.5 paise.
The Reserve Bank of India fixed the reference rate for dollar at 62.9200 and for the Euro at 67.3433.
The rupee rebounded against the pound sterling to 93.63 from last close of 93.87 and also recouped against the euro to 67.29 from.
It too recovered against the Japanese currency to 52.64 per 100 yen from 52.85 previously.
