Rupee trades at new record low of 56.38 against US dollar

Mumbai, May 24: Continuing its slide against the US

for the seventh day in a row, the

hit new record low of 56.38 in the late morning trade today amid firm demand for the American currency from importers and continued capital outflows in view of Greece's debt crisis.

Despite steps taken by the Reserve Bank to check the rupee's downward slide, dollar's gains against the euro and other major currencies in the overseas markets kept pressure on the Indian unit.

The rupee resumed lower at 56.20 per dollar against the yesterday's closing level of 56 and dropped further to an all-time low of 56.38 per dollar at 1045 hrs.

Globally, the US dollar remained strong against a basket of major currencies with euro remaining under pressure as European Union leaders' pledge of united fight against the debt crisis failing to impress investors.

Dealers said increased dollar demand from importers, especially oil refiners coupled with capital outflows from foreign funds kept pressure on the rupee value against the dollar even selling of the American currency by exporters and banks failed to check persistent fall.

PTI