Rupee falls 12 paise, hits fresh 16-month low against US dollar

Traders attributed the rupee’s fall to increased demand for the dollar from importers and banks after US Treasury Secretary Steven Mnuchin said the trade war with China was on hold

The rupee declined 12 paise to a fresh 16-month low of 68.12 against a strengthening US dollar in early trade on Monday, after China and the US struck a deal to avert a trade war.

On Friday, the rupee had lost 30 paise to end at 68 against the US currency on renewed dollar buying interest amid global macro challenges. (Reuters File Photo)

Traders attributed the rupee’s fall to increased demand for the dollar from importers and banks after US Treasury Secretary Steven Mnuchin said the trade war with China was on hold, amid hopes of easing trade tensions between the two economies.

Higher crude oil prices and losses in Asian currencies to weighed in the domestic unit, they added. On Friday, the rupee had lost 30 paise to end at 68 against the US currency on renewed dollar buying interest amid global macro challenges.

Meanwhile, the benchmark BSE Sensex was trading higher in early trade on Monday.