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Rupee closes at record low of Rs 49.03/$

A late burst of panic dollar demand from corporates once again drove the rupee to a new closing low of Rs 49.0250/0300 per dollar on Wednesday, heavily weighed down by increased tension between India and Pakistan and volatile trade at the Interbank Foreign Exchange market.

Breaking the earlier life-time closing low of 49.0050/0200 logged on Monday, the rupee after a brief pause on Tuesday, came under sudden pressure as players and customers rushed to build up dollar positions following a reported statement by Prime Minister Atal Bihari Vajpayee about retaliation against Tuesday's massacre in Jammu.

While panic-stricken players were building up long dollar positions after the retaliation news, corporates too joined the bandwagon making sizeable dollar purchases, dealer said.

The rupee once again touched its historic low of Rs 49.05/06 (April 24) during intra-day deals.

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