Rupee declines 5 paise against dollar

MUMBAI: The rupee declined by 5 paise to 55.49 against the dollar in early trade today, extending yesterday's losses, on the Interbank Foreign Exchange on continued demand for the American currency.

Besides dollar demand from oil importers, a lower opening in the equity market also put pressure on the local unit, forex dealers said.

They, however, added that dollar's weakness against euro and other currencies overseas restricted the rupee's losses.

Meanwhile, the BSE benchmark Sensex fell by 89.40 points, or 0.50 per cent, to 17,677.38.

The rupee had lost 8 paise to end at 55.44 against the dollar in yesterday's session on fresh dollar demand from importers.