Rupee closes marginally lower by 3 paise

In a restricted trade, the rupee ended marginally lower by three paise to 63.58 against the American currency on mild dollar demand from banks and importers.

The rupee resumed lower at 63.58 per dollar as against previous closing of 63.55 at the Interbank Foreign Exchange (Forex) market and moved in a range of 63.62 per dollar and 63.5125 per dollar before ending at the same opening level of 63.58 per dollar, showing a loss of 3 paise or 0.05 per cent.

The dollar index was up by 0.09 pct against a basket of six currencies in the late afternoon trade on Wednesday.

In the overseas market, the dollar mostly lost ground against its major rivals in early trade, slumping in particular versus the pound as expectations increased for a rise in UK interest rates.

At the New York, the US dollar snapped a four-day winning streak on Tuesday as investors took advantage of light trading volume to unload some of their holdings.

Meanwhile, oil prices resumed their declines in Asia following a US report showing stockpiles surged last week, with analysts warning for further weakness ahead.

Meanwhile, the benchmark 30-share index ended higher by 322.79 points or 1.15 per cent to close at 28,504.93.