Rupee dips 50 paise to hit 13-month low against dollar in late trade

The rupee dipped to a 13-month low by losing 50 paise to 63.44 against the US dollar in late morning deals on Tuesday on heavy demand for the American currency from importers amid renewed economic concerns including trade deficit and capital outflows. The domestic unit resumed lower at 63.25 per dollar as against the yesterday's closing level of 62.94 at the Interbank Foreign Exchange market.

It slid to 63.45 on sustained dollar demand and was quoting at 63.44 in late morning deals. Overnight data released saw that country' trade deficit jumped to one-and-half year high of US 16.86 billion in November amid six-fold increase in gold imports, stoking concerns for economic policy makers.

Continued FII outflows and volatile equities affecting the rupee sentiment, dealers said. In New York market, the US dollar were mixed in early trade against its major rivals after yesterday's record highs against Russian ruble after fall in oil prices, resulting Moscow central bank raise interest rates.

Meanwhile, the benchmark BSE Sensex dropped by 405.44 points or 1.48 per cent to 26,914.12 in late morning trade.