Rupee falls 42 paise to all-time low of 80.38 against US dollar
Rupee falls 42 paise to an all-time low of 80.38 against US dollar in early trade
FollowThe Rupee fell 42 paise to an all-time low of 80.38 against the US dollar in early trade on Thursday. On Wednesday, the rupee had closed at 79.96 against the US dollar -- down by 22 paise -- tracking the strength of the American currency in the overseas markets and a muted trend in domestic equities.
According to Forex traders, investors are awaiting US Federal Reserve's policy decision on interest rates for further cues. Moreover, firm crude oil prices and risk-off mood weighed on the local unit.
On Tuesday, the rupee had closed 7 paise higher at 79.74.
Dilip Parmar, a Research Analyst for HDFC Securities, said that the Dollar appreciated against major currencies as Russia's escalation of war enervated investors' appetite for risk besides the expected interest rate hike by the Federal Reserve. The market participants were fretful after Russian President Vladimir Putin announced a "partial mobilisation" of troops in Ukraine.
Anuj Choudhary, Research Analyst at Sharekhan by BNP Paribas, too shared the sentiment, stating that the Rupee was expected to trade with a negative bias amid deteriorating global risk sentiments post-Russian President Putin's address to the nation.
