Rupee down 12 paise on dollar demand

The rupee on Thursday weakened by 12 paise to 61.91 against the dollar in early trade at the Interbank Foreign Exchange market due to demand for the U.S. currency from importers.

Forex dealers said besides dollar’s gains against other currencies overseas, increased demand from importers for the American currency also put pressure on the rupee.

They said, however, a higher opening of the domestic equity market, capped the fall.

The rupee had gained 16 paise to close at over one-week high of 61.79 against the dollar on Tuesday after exporters sold the American currency as the forex and money markets remained closed on Wednesday for Christmas holiday.