Rupee sheds initial gains, down 3 paise at 66.88

Mumbai: The rupee slipped from its initial gains, currently trading down by 3 paise to 66.88 against the greenback in late morning trade on bouts of dollar demand from importers amid bullish US currency overseas.

The rupee resumed higher at 66.81 per dollar as against the yesterday's closing level of 66.85 at the Interbank Foreign Exchange market. Later, it declined to 66.9150 before quoting at 66.88 per dollar at 1025 hours.

The domestic unit hovered in a range of 66.91 and 66.81 in late morning deals.

"The rally in US dollar-rupee pair continues on the back of global risk-on sentiment, even though dollar index has moved higher to 100.65 from recent lows," a forex dealer said.

The dollar index was trading down by 0.02 per cent at 100.65 against a basket of six currencies.

Overseas, the dollar stood atop large gains early today after soaring broadly overnight on comments by US President Donald Trump that he would announce the most ambitious tax reform plan since the Reagan era in the next few weeks.

Meanwhile, the benchmark BSE Sensex was trading up by 64.36 points or 0.23 per cent to 28,394.06 at 1025hrs.