Rupee extends losses, hits another 29-month low against dollar
Hit by global economic woes, the rupee extended its losses on Thursday by seven paise to close above the 68-mark, a fresh 29-month low against the US dollar, on sustained demand for the American currency.business Updated: Jan 21, 2016 19:37 IST
Hit by global economic woes, the rupee extended its losses on Thursday by seven paise to close above the 68-mark, a fresh 29-month low against the US dollar, on sustained demand for the American currency from importers and banks amid a fall in equities.
Persistent foreign capital outflows also affected the market sentiment, a forex dealer said.
Foreign portfolio investors sold shares worth a net Rs 1,324.69 crore on Wednesday, according to provisional data issued by stock exchanges.
The domestic unit resumed higher at 67.88 per dollar as against Wednesday’s closing level of 67.95 at the Interbank Foreign Exchange (Forex) market.
Later, it fell to 68.11 before ending at 29-month low at 68.02 per dollar, showing a further loss of 7 paise or 0.10%. It had last ended at 68.80 per dollar on 28th August 2013. The domestic currency has lost 37 paise or 0.55% in two days.
The domestic unit hovered in a range of 68.11 and 67.8150 during the day.
The dollar index was down by 0.02% against a basket of six currencies in the late Asian trade.
Overseas, the US dollar was higher against the major rivals in early Asian trade, breaking off from one-year low against the yen on Wednesday as crude oil prices bounced, while the euro awaited a policy decision from the European Central Bank for near-term cues.
The benchmark BSE Sensex ended lower by 99.82 points or 0.41% on Thursday.