Rupee snaps 5-day uptrend vs US dollar

The Indian rupee on Wednesday snapped its five-day uptrend against the greenback, ending four paise lower at 62.18 on fresh dollar demand from banks and importers in view of fall in crude oil prices.

The rupee resumed higher at 62.08 per dollar as against the last closing level of 62.14 per dollar, a one-month high, at the Interbank Foreign Exchange Market.

It moved up further to 62.07 on initial selling of dollars by banks.

However, the local currency failed to maintain its gains and dropped to 62.23 per dollar.

It ended at 62.18 at the fag-end dollar demand from banks and importers on the back of higher dollar in the overseas market, showing a loss of four paise or 0.06 per cent.

The rupee hovered in a range of 62.07 per dollar and 62.23 per dollar during the day.

The currency had gained by 143 paise, or 2.25 per cent, during the previous five sessions.

In London, the euro fell back to a nine-year low on Wednesday after reports said an interim ruling from the European Court of Justice left the door open for full-scale quantitative easing.

In New York market, the US dollar extended its gains against the euro, but surrendered earlier gains against the yen and the pound on Tuesday.

Nymex-traded crude oil futures were trading near the $45-a-barrel level, amid reports of the US Energy Information Administration saying oil supplies will outpace demand through 2016.