Rupee hits record low of 56.87 against US dollar

Mumbai: The rupee plunged by 57 paise to a new record low of Rs 56.87 against the US dollar in early trade today on increased capital outflows and rising demand from importers for the American currency.

Besides, strengthening of dollar against the euro also put pressure on the local unit.

The rupee yesterday had hit all-time low of 56.57 intra-day, before the Reserve Bank intervened to help the local currency recover some ground. It had ended 15 paise down at 56.30.

Meanwhile, the BSE benchmark Sensex plunged by 129.23 points, or 0.76 per cent, to 16,903.33.