The persistent foreign capital outflow have smitten the market sentiments. Dollar strengthening over its overseas rivals. Continuous foreign fund capital outflows in view of the fall in the equity market, coupled with a stronger dollar in global markets, mainly affected the rupee value against the American currency, a forex dealer said.

The Indian rupee, Asia's worst performing currency this year, expecting strong action from authorities.

In US market, the euro slipped to its lowest level yesterday since January, slipping below USD 1.30 per euro.

At 12.55 pm IST, BSE was seen trading at 15,759.58 down by 121.56 points or 0.77%. The 50-share NSE was at 4718.95 down by 44.30 points or 0.93%.