Rupee down 16 paise against dollar in early trade

The rupee fell by 16 paise at 62.98 against the US dollar in early trade today at the Interbank Foreign Exchange due to appreciation of the Greenback overseas on strong American housing sales data.

Besides, fresh demand for the dollar from importers weighed on the local currency but a higher opening in the domestic equity market, limited the rupee's losses, forex dealers said. The rupee had strengthened by three paise at 62.82 against the US dollar in yesterday's trade on persistent selling of the American currency by banks and exporters amid fresh foreign capital inflows into the equity market.

Meanwhile, the benchmark BSE Sensex regained the 28,000-mark by rising 164.34 points, or 0.58 per cent, at 28,054.47 in early trade.