MUMBAI: Hit by global economic woes, the rupee on Thursday extended its losses by seven paise to close above the 68-mark, a fresh 29-month low against the U.S. dollar, on sustained demand for the American currency from importers and banks amid fall in equities.

Foreign portfolio investors sold shares worth a net Rs. 1,324.69 crore on Wednesday, according to provisional data issued by stock exchanges.

The domestic unit resumed higher at 67.88 per dollar as against the Wednesday’s closing level of 67.95 at the Interbank Foreign Exchange (Forex) market. Later, it fell to 68.11 before ending at 29-month low at 68.02 per dollar. It had last ended at 68.80 per dollar on 28th August 2013. The domestic currency has lost 37 paise or 0.55 per cent in two days. The dollar index was down by 0.02 per cent against a basket of six currencies in the late Asian trade. Overseas, the U.S. dollar was higher against the major rivals in early Asian trade, breaking off from one-year low against the yen on Wendesday as crude oil prices bounced, while the euro awaited a policy decision from the European Central Bank for near-term cues. Meanwhile, the Sensex ended lower by 99.82 points or 0.41 per cent.–PTI