Rupee hits all-time low of 82.33 against US dollar

The rupee fell 16 paise to an all-time low of 82.33 versus the US dollar in opening trade on Friday, as a strong US currency and risk-averse investor mood weighed on the local currency.

Furthermore, a downward trend in local stocks and rising crude oil prices dampened investors’ confidence, according to forex traders.

Also Read| Sensex plunges over 200 points, Nifty falls by 70 points in early trade

The rupee began at 82.19 versus the US dollar on the interbank foreign exchange, then fell to 82.33, a drop of 16 paise from its previous close.

The Indian rupee fell below 82 against the US dollar for the first time on Thursday. It fell 55 paise to a record low of 82.17 versus the US dollar.

Also Read| Oil prices fall ahead of US employment update

“An uptick in crude prices has caused concerns around the trade deficit to resurface. US rates staying higher for longer is not helping the capital account,” IFA Global Research Academy said in a note.

Additionally, the Reserve Bank of India (RBI) appears to have grown more conservative in spending reserves, according to the report, which adds that these reasons are leading the rupee to adjust, the note added.

Also Read| Asian stocks fall as recession fears deepen

The dollar index, which measures the strength of the US currency against a basket of six currencies, was trading 0.14% lower at 112.10. Brent crude futures slipped 0.10% to USD 94.33 a barrel.

The Sensex was trading 111.83 points, or 0.19%, down at 58,110.27, while the Nifty slid 38.00 points, or 0.22%, to 17,293.80.

Also Read| Dollar rises ahead of US Jobs data

Foreign institutional investors (FIIs) bought shares worth a net Rs 279.01 crore, whereas domestic institutional investors (DIIs) purchased shares worth a net Rs 43.92 crore on October 6, as per provisional data available on the NSE.