Rupee slumps 31 paise to close at 74.86 against U.S. dollar
The Hindu
Indian rupee to remain under pressure for sometime amid Russia-Ukraine conflict, says expert
The rupee depreciated by 31 paise to 74.86 (provisional) against the U.S. currency on Tuesday as riskier assets took a hit amid deepening geopolitical tensions.
Forex traders said sustained foreign fund outflows, a lacklustre trend in domestic equities and elevated crude oil prices weighed on investor sentiment.
At the interbank foreign exchange, the rupee opened at 74.71 against the American dollar but later dropped to a low of 74.99 against the greenback.
The local unit was quoted at 74.86 at close, down 31 paise from the previous close.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.04% lower at 96.03.
"The rupee has glided lower by around 0.50% amid mounting tensions between Russia and Ukraine, which has hurt the risk sentiments in the markets and led to significant outflows," said Sugandha Sachdeva, Vice President - Commodity and Currency Research, Religare Broking Ltd.
Besides, crude prices have soared to seven-year highs due to lingering supply worries, which is dragging down the Indian rupee, Ms. Sachdeva added.