New Delhi: The rupee fell sharply to its all time low of 50.02/03 against the greenback after losing 35 paise on relentless capital outflows, promoted by heavy demand for US dollar and weak equity markets.The rupee, which has been on losing-spree for the past two days, has fallen by a hefty 101 paise or 2.06 per cent. However, the loss is a mind-boggling Rs 10.61, or 26.92 per cent, since January this year.
Dealers in foreign exchange said there was strong demand for the US currency on Wednesday from oil refiners for their import payments against very little dollar sales. Dollar supply was scarce for the past one-year or so, it has been further squeezed ever since the economic crisis emerged in the US.
Though dollar has been on a declining trend against its major rivals, experts were baffled at its appreciation even took a heavy toll on US economy.The domestic currency moved in a wide range between 49.54 and 50.04 during the day after early signs of a recovery in sync with an initial surge in equity markets on fresh hopes of further monetary measures by the central bank.
Dealers in foreign exchange said there was strong demand for the US currency on Wednesday from oil refiners for their import payments against very little dollar sales. Dollar supply was scarce for the past one-year or so, it has been further squeezed ever since the economic crisis emerged in the US.
Though dollar has been on a declining trend against its major rivals, experts were baffled at its appreciation even took a heavy toll on US economy.The domestic currency moved in a wide range between 49.54 and 50.04 during the day after early signs of a recovery in sync with an initial surge in equity markets on fresh hopes of further monetary measures by the central bank.
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