Rising global crude oil prices added pressure on the rupee, forex traders said, noting that positive domestic equity market sentiment failed to arrest the fall.
The rupee plunged 60 paise to a fresh intra-day low of 93.49 against the US dollar on Friday, pressured by a stronger greenback and continued FII outflows amid the ongoing West Asia conflict.
Rising global crude oil prices further weighed on the currency, forex traders said, adding that positive sentiment in domestic equity markets failed to cushion the fall. Concerns that crude prices could surge to USD 180 per barrel also dampened market sentiment.
At the interbank foreign exchange, the rupee opened at 92.92 and soon breached the 93-mark for the first time. It continued to weaken, trading at 93.49—down 60 paise from its previous close.
The rupee had earlier dropped 49 paise to settle at its then record low of 92.89 against the US dollar on Wednesday. Forex markets remained closed on Thursday on account of Gudhi Padwa.
The dollar index, which tracks the greenback against a basket of six currencies, rose 0.17 per cent to 99.40. Meanwhile, Brent crude, the global oil benchmark, was trading 0.79 per cent lower at USD 107.8 per barrel in futures trade.
In the domestic equity market, the BSE Sensex rebounded from the previous session’s fall, gaining 442.88 points (0.60 per cent) to 74,650.12, while the Nifty 50 rose 146.65 points (0.64 per cent) to 23,148.80.
Foreign institutional investors sold equities worth Rs 7,558.19 crore on a net basis on Thursday, according to exchange data.
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