Rupee drops 15 paise against US dollar

The rupee pared its initial gains to trade lower by 15 paise at 67.58 against the US dollar in late morning deals following sudden bouts of dollar demand from importers and banks, despite higher local equities.

Earlier, the rupee inched a tad higher at 67.42 against yesterday's closing level of 67.43 per dollar at the inter- bank foreign exchange here.

The domestic unit gained further to trade higher at 67.32 before slipping to a low of 67.59 at 1020 Hrs.The Indian unit hovered between 67.32 and 67.59 during morning deals.

Caution crept as traders awaiting



for gross domestic product (GDP) and fiscal deficit data due later in the day.

Yesterday, Moody's predicted fall in India's 2018 GDP growth outlook to 7.3 per cent from 7.5 per cent, citing higher oil prices and tighter financial conditions.

Meanwhile, the US dollar was trading lower against its major peers in early Asian trade, the euro won a reprieve on holding on to the strong gains it made yesterday.

The 30-share BSE Sensex trading higher by 108.73 points or 0.53 per cent at 35,014.84 at 1045 hrs.