: Rupee plunges to all-time low of 81.67 against dollar #FinanceIndia #StockMarketNEWS #Business Press Trust of India Mumbai The rupee plunged 58 paise to close at an all-time low of 81. 67 against

@StockMarketNEWS Wed 28 Sep, 2022

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Rupee plunges to all-time low of 81.67 against dollar #FinanceIndia #StockMarketNEWS #Business
Press Trust of India

Mumbai

The rupee plunged 58 paise to close at an all-time low of 81. 67 against the US dollar on Monday as the strengthening of the American currency overseas and risk-averse sentiment among investors weighed on the local unit.

Moreover, escalation of geopolitical risks due to conflict in Ukraine, a negative trend in domestic equities and significant foreign fund outflows sapped investor appetite, forex traders said.

At the interbank foreign exchange market, the local currency opened at 81. 47, then fell further to close at an all-time low of 81. 67 against the American currency, registering a decline of 58 paise over itsprevious close.

On Friday, the rupee slumped 30 paise to close at 81. 09, its previousrecord low.

This is the fourth consecutive session of loss for the domestic unit, during which it has lost 193 paise against theAmerican currency.

“Another day of large gains for the dollar versus the rupee as it fell for the fourth day in a trot amid risk-averse sentiments and unprecedented strength in the greenback following Fed tightening and recession worries,??? said Dilip Parmar, Research Analyst, HDFC Securities.

Spot USD-INR may head towards 82 as strength in the dollar index continues with surging bond yields, Parmar said, adding that in the near-term, spot USD-INR is having resistance at around 82 and support at 81. 05.

“Rupee fell to fresh all-time lows as the dollar strengthened across the board. The pound plunged further after the UK government announced huge debt-financed tax cuts,??? said Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services.

Somaiya added that during the weekend, North Korea fired a ballistic missile towards the sea off its east coast. Political instability in China has disturbed the overall economic sentiment and is keeping the Chinese Yuan weighed down.

“We expect the USDINR (Spot) to trade sideways and quote in the range of 81. 20 and 81. 80,??? Somaiya said.

According to Anuj Choudhary Research Analyst at Sharekhan by BNP Paribas, the Indian rupee touched a record low on strong Dollar and weak domestic markets.

Dollar surged to fresh 20-year high of 114. 527 amid weak global equities and sharp fall in riskier currencies such as the Pound.

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