Rupee Falls To A New Record Low Of 83.06 Against US Dollar

The Indian currency fell 6 paise against the dollar in the opening trade on Thursday, according to the PTI, due to a stronger US dollar overseas and unrelenting foreign fund outflows. Furthermore, a sell-off in domestic equities and risk-averse sentiments weighed on the local currency, according to forex traders.

According to the report, the domestic unit opened weak at 83.05 against the dollar on the interbank foreign exchange (Forex), then fell further to quote 83.06, a 6 paise drop from its previous close. In early trading, the local currency reached a high of 83.07.

The rupee fell 60 paise against the dollar in the previous session on Wednesday, finishing at 83.

According to Reuters, traders reported that the currency had sold off in the last 1.5 hours of trading on Wednesday due to significant corporate dollar and custodian outflows.

The domestic currency's "saving grace" after "yesterday's disaster" is that it remained largely unchanged at around 83 levels after regular trading hours, according to a Currency Dealer at a Mumbai-based bank.

The dollar index, which measures the strength of the greenback against a basket of six currencies, increased 0.07 percent to 113.06.

The Japanese yen, on the other hand, hit a new low of 149.96 per dollar, with the brittle Japanese currency losing ground for 11 consecutive sessions, including six 32-year lows.

Brent crude futures fell 0.17 percent to $92.25 per barrel, the global oil benchmark.

The 30-share BSE Sensex was trading 140 points (0.24 percent lower) at 58,967, while the broader NSE Nifty was down 43 points (0.25 percent) at 17,468.

According to exchange data, foreign institutional investors (FIIs) were net sellers in the capital markets on Wednesday, offloading shares worth Rs 453.91 crore.