Rupee drops sharply; breaches 56 again

The rupee opened sharply lower by 33 paise at Rs 56.17 to the dollar, as equities across the globe plunged, fueling fresh demand for the dollar.

Equities around the globe took a turn after the European Central Bank (ECB) on Thursday failed to announce any big bang measures.

Rupee was affected as weakness in the euro against the dollar overseas as hoped dampened on more monetary stimulus by the Federal Reserve, a weak opening in the stock market also put pressure on the rupee's value.

The Indian currency opened at 56.17 per dollar versus 55.84 on Thursday. At 10.38 am IST, rupee was seen trading at Rs 56.15 lower 31 paise.

Meanwhile, the BSE benchmark index Sensex opened lower by 88 points and Nifty lower by 29 points.

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