Rupee Hits New Low, Opens at 70.25 Against US Dollar
The Indian rupee on Thursday, 16 August, opened at an all-time low of 70.25 a dollar. The local currency fell further to 70.32 per dollar. It has fallen 2.51 percent so far this month.
The 10-year bond yield opened at 7.84 percent.
Union Minister Arun Jaitley said on Wednesday that India holds sufficient foreign exchange reserves to mitigate any undue volatility in the foreign exchange market.
Geo-political pressures, along with outflows of foreign funds and high crude oil prices dragged the Indian rupee to its previous lowest ever intra-day level of over 70 against the US dollar on 14 August when it plunged to 70.08, the lowest ever, against the greenback.
However, intervention by the Reserve Bank of India (RBI) and stabilisation in the global currency markets pared the rupee's early fall.
At the end of the intra-bank trade session on Tuesday, the Indian rupee strengthened by four paisa at 69.90 against the dollar, compared to Monday's close of 69.94 per greenback.