Money & Banking

Rupee hits 6-month low, loses 33 paise against dollar

PTI Mumbai | Updated on March 12, 2018

The rupee today shed a hefty 33 paise to end at a six-and-a-half month low of 45.74/75, against the US currency due to sustained dollar demand amid a steep fall in equity markets.

Dealers in foreign exchange said a smart rise in dollar value in the overseas market on good demand after heavy selloff in global equities dampened the rupee sentiment.

At the forex market, the local unit opened lower at 45.47/48 a dollar. It ended the day at 45.74/75, a steep fall of 0.72 per cent or 33 paise from the previous day’s close, in the third straight session of loss.

The dollar index was up by 0.4 per cent against its major six rivals in European market today.

Meanwhile, the Bombay Stock Exchange benchmark Sensex today plunged by 371 poinits or 2.20 per cent to end at nearly 15—month low, which mainly affected the market sentiment. All Asian stocks too ended weak.

Alpari Financial Services (India) CEO Pramit Brahmbhatt said: “Indian equity markets traded weak throughout the day and was down by over 2 per cent which depreciated the rupee by over 0.7 per cent. Dollar demand from oil importers also helped dollar to gain against the rupee.”

India Forex Advisors CEO Abhishek Goenka said the dollar demand from oil importers intensified amid a weakness in major Asian currencies. “As soon as the pending oil demand to Iran is settled, the rupee can show slight appreciation. However, till then there will be a robust dollar demand in the market and we can target 45.90 and above levels in the USD/INR pair,” he added.

Published on August 18, 2011

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