Rupee depreciates by 5 paise against US dollar ahead of RBI's policy meet

Mumbai: The rupee on Wednesday edged down by 5 paise to 64.12 against the dollar as the latter found buying traction among importers ahead of RBI policy decision.

The two-day monetary policy meeting concludes on Wednesday. Fresh demand of the US currency from importers, traders said, weighed, but domestic equities soaring to new highs and the dollar's weakness against other currencies overseas arrested the rupee's fall.

On Tuesday, the rupee had racked up strong gains to end at a fresh two-and-a-half month high of 64.07 against the US currency, appreciating by 12 paise on heavy dollar selling amid expectations of a rate cut by the Reserve Bank.

Meanwhile, the benchmark BSE Sensex climbed 111.31 points, or 0.34 per cent, to a new record 32,686.48 and the Nifty scaled a new high of 10,137.85 in opening trade.