MUMBAI: Indian rupee ended at a record closing low of 73.34 per dollar on Wednesday on the back of strong demand for US dollar from importers amid rising global oil prices.
It has touched a record low of 73.41 in the morning trade, while it saw some recovery during the day after it opened lower at 73.24 against Monday’s close of 72.91 per dollar
According to IFA Global currency report, higher crude prices would continue to weigh on domestic bonds and the rupee. The next domestic trigger would be the tone of the RBI policy on Friday.
Rushabh Maru – Research Analyst, Anand Rathi Shares and Stock Brokers said, The rupee has made a new record low today on back of consistent rise in the crude oil prices. Sharp rise in the crude oil prices along with steep depreciation in the rupee might push inflation higher in coming months.”
“Sharp volatility in the domestic equities and steep FIIs outflows from equity and debt segments keeping sentiments bearish for the rupee. The dollar index is hovering around multi-months high as the Federal Reserve continues to raise interest rates aggressively,”he added.