Mumbai: The rupee lost early gains after opening firm against the US currency and was quoted at Rs 44.19/20 a dollar in late morning deals after suspected intervention by central bank amid buoyant equity markets.

In quiet active trade at the interbank foreign exchange (forex) market, the Indian unit resumed higher at 44.15/16 per dollar from overnight close of Rs 44.1850/1950 a dollar but later fell back due to fears of the Reserve Bank of India s (RBI) intervention.

The rupee failed to maintain its initial gains due to suspected RBI intervention, forex dealers said adding "The move is considered to be in favour of exporters which will be hit if rupee strengthens further".

 
Dealers expected dollar demand from oil companies at rupee s current levels capping the currency s upsurge.