Ripples of a sharp fall in equity markets was felt in the forex market as rupee depreciated by 28 paise to 50.23 against the US currency.

The rupee, which fell for the ninth straight day on Monday, touched an intra-day low of 50.23 to a dollar as traders turned panicky in equity markets.

The domestic currency had closed at 49.95/96 a dollar after hitting the intra-day record low of 50.15 on Friday even as the Reserve Bank of India [Get Quote] announced its mid-term review of monetary policy that day.

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The Bombay Stock Exchange benchmark indices tumbled by 1,000 points to touch a three-year low at mid-session on aggressive selling by funds.

The Interbank foreign exchange market continued to witness consistent dollar demand in the face of inadequatesupplies, following sustained capital outflows from equity markets.

Resuming lower at 50.07/08 a dollar, the local currency later ruled steady and was quoted at 50.06/07 a dollar in late morning deals. 

Foreign institutional investors were under pressure in the US markets and preferred to reduced their commitment in domestic bourses.