Rupee hits new low of 74.27, plunges 21 paise against US dollar on sustained foreign capital outflows, rise in crude price
The rupee erased all its morning gains to hit a new record low of 74.27 against the US dollar in afternoon trade on Tuesday after Brent crude breached the $84 a barrel-mark again and the American currency strengthened overseas.
Mumbai: The rupee erased all its morning gains to hit a new record low of 74.27 against the US dollar in afternoon trade on Tuesday after Brent crude breached the $84 a barrel-mark again and the American currency strengthened overseas.
Moreover, unabated foreign fund outflows weighed on the rupee, traders said.
At the forex market, the domestic unit opened higher at 73.93 and advanced to 73.88 on fresh selling by exporters amid weakness in dollar against some currencies overseas.
However, it turned weak and slipped to trade at a fresh lifetime low of 74.27, showing a fall of 21 paise over its Monday's close of 74.06.
It broke previous record low (intra-day) of 74.23 reached on 5 October.
Foreign institutional investors (FIIs) sold shares net worth a net of Rs 1,805 crore Monday, provisional data showed.
Investors remained concerned over sustained foreign capital outflows and rise in crude oil price to 84.48.
Forex dealers said besides strong demand for the American currency from importers, concerns rising fiscal deficit and capital outflows weighed on the domestic currency.
Meanwhile, the BSE benchmark Sensex dropped by 87.79 points, or 0.25 percent, to 34,386.59 during mid-session.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
The latest global trade protectionist measures, along with high crude oil prices, dragged the Indian rupee to a fresh low of 72.98 per US dollar on Tuesday
Increased dollar demand from importers amid firming global crude oil prices and a strong dollar weighed on the rupee sentiment, a currency dealer said
Rupee breaches Rs 72-mark for the first time: Currency's unabated fall continues for seventh straight session
The rupee's unabated fall continued for the seventh straight session on Thursday as it surpassed the 72-mark for the first time, hitting yet another low of 72.12, down 34 paise against the US currency as surging oil prices and weak trend in emerging market currencies weighed on sentiments.