Mumbai, India (BBN) – The rupee slumped to 68.02 in the evening session on heavy capital outflows from the domestic equity market.
According to forex dealers, the domestic unit firmed up by 7 paise to 67.84 against the US dollar in early trade at the Interbank Foreign Exchange on increased selling of the American currency by exporters and banks, reports The Hindu Business Line.
Besides, the dollar’s weakness against some currencies overseas supported the rupee but a weak domestic equity market, capped the gain, they said.
The rupee hovered in a range of 68.02 and 67.84 before quoting at 68.02, down 11 paise at 4:20pm local time.
The rupee had gained 12 paise to close at 67.91 against the US dollar in yesterday’s trade on selling of the American currency by banks and exporters.
Meanwhile, the benchmark BSE index Sensex nosedived 262.78 points to end at 25,979.60 on sustained capital outflows from foreign funds and heavy selling by retail investors.
In the overseas market, the dollar lost some steam on Thursday, slipping from its 14-year-high against a basket of currencies as investors took profits before a batch of US economic data due later in the day is published.
The dollar index, which measures the greenback against six major rivals, dipped 0.1 per cent to 102.96. It has receded from the 103.65 marked on Tuesday, its highest since December 2002.