Mumbai: Rupee is likely to jump down on Thursday, terrified of capital outflows as regenerated concerns about a worldwide credit squeeze beat Asian stock markets.

Equity inflows have been a key driver for the rupee that hit a nine-year high of 40.20 a dollar in July.

Foreigners have purchased about $9.5 billion of local shares in 2007, appending to $7.9 billion last year, but they have been decompressing this month.

The partly exchangeable rupee dangled to 40.75/76 on Tuesday, its feeblest closing since June 28.