Rupee down 18 paise against US dollar in early trade

MUMBAI: The rupee today lost 18 paise to 59.22 against the dollar in early trade at the Interbank Foreign Exchange market due to month-end demand of the US currency from banks and importers, ahead of RBI's policy review tomorrow.

Forex dealers said increased demand for the American currency ahead of the RBI's policy review tomorrow and a weak opening in the domestic equity put pressure on the rupee but dollar's weakness against other currencies in the global market capped the fall.

The domestic currency had gained seven paise to close at one-month high of 59.04 against the dollar on Friday as the RBI's liquidity-tightening measures continued to lend support.

Meanwhile, the BSE benchmark Sensex fell 39.37 points, or 0.19 per cent, at 19,708.82 in early trade today.