Rupee softens 4 paise against dollar in early trade

The rupee depreciated 4 paise to quote at a fresh one-week low of 67.18 against the US dollar in early trade today on sustained demand for the American currency from importers and bankers. Besides, disappointing macro economic data with industrial production contracting by 0.8 per cent in April and the retail inflation surging to 5.76 per cent in May also weighed on the domestic unit.

However, the dollar’s weakness against other currencies overseas and early gains in stock markets capped the losses, forex dealers said. Yesterday, the rupee had plunged by 38 paise to hit one-week low of 67.14 against the US dollar.

Meanwhile, the benchmark BSE Sensex recovered by 88.68 points or 0.33 per cent to 26,485.45 in early trade.