Rupee drops to record low of 83.06 against US dollar

The rupee fell by 6 paise and dropped to a record low of 83.06 against the US dollar in opening trade on Thursday (October 20). This was due to a stronger greenback overseas and unrelenting foreign fund outflows, coupled with according to forex traders, a sell-off in domestic equities and risk-averse sentiments which weighed on the local unit.

At the interbank foreign exchange, the domestic unit opened weak at 83.05 against the dollar, then slipped further to quote 83.06, a fall of 6 paise over its previous close. The local currency also hit a high of 83.07 in early deals.

In the previous session on Wednesday, the rupee plunged 60 paise to end at 83 against the dollar. The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.07 per cent to 113.06.

Also read: Rupee falls 19 paise to close at lifetime low of 80.98 against US dollar

Brent crude futures, the global oil benchmark, slipped 0.17 per cent to USD 92.25 per barrel.

In the domestic equity market, the 30-share BSE Sensex was trading 140.09 points or 0.24 per cent lower at 58,967.10. Similarly, the broader NSE Nifty fell 43.95 points or 0.25 per cent to 17,468.30. Foreign Institutional Investors (FIIs) were net sellers in the capital markets as they offloaded shares worth Rs 453.91 crore on Wednesday, according to exchange data.

Also read: Recession may not hit India as badly as some other countries: SBI head