Rupee hits a 32-month low at 50.71 against dollar
15 Nov 2011
The rupee hit a fresh low of 50.71 against the dollar in early morning trade, its lowest in 32 months, and was trading at 50.67/68 a dollar in afternoon trade on the interbank foreign exchange market today
The Indian unit, which ended down 0.3 per cent at 50.285/295 on Monday, opened today at Rs50.46 against the dollar and further dropped to 50.71, hammered by persistent dollar demand from banks and oil importers.
The rupee has lost around 13.5 per cent against the dollar since July this year and is at its lowest level against the greenback since end-March 2009.
The rupee came under pressure following a spike in demand for dollar from banks and importers, mainly oil importing companies.
The rupee, which lost 18 paise, at Rs50.30/31 to the US dollar, was still at its 32-month lows in the afternoon trade. At 2:45 pm, the rupee was quoted at 50.67/68 against the dollar.
The rupee's fall was aided by week stock markets – both domestic and overseas – and the euro's losses against the dollar.
