· The currency plunged to all-time low of 70.65 a dollar intraday before closing at 70.59.
· The rupee plummeted 49 paisa, or 0.7%, against the dollar. This was the biggest single-day decline since August 13 when it dropped 110 paise, or 1.6%.
· The earlier all-time closing low for the rupee was 70.16 to a dollar.
· According to dealers, dollar demand from oil refiners amid rising crude oil prices exerted pressure on the rupee.
· A report by Moody’s Investor Service said higher oil prices add to short-term fiscal pressures, following cuts in the goods and services tax on some items and relatively high increases in minimum support prices for some crops.
· The dollar index was trading up 0.22% at 94.83.
· The rupee has been the worst performing currency in Asia this year, depreciating against the dollar by around 9%.
· The present pressure on the rupee started with the political turmoil in Turkey which impacted the lira and also other emerging market currencies.
· RBI has been intervening in the currency market to slow the pace of the fall.
· Foreign exchanges reserves fell about $26 billion from the highs of April, Reserves stood at $400.8 billion for the week ended August 17.
· The equity benchmark indices ended in the red after two successive days of touching new highs.
· As many as 18 stocks in the Sensex pack ended in the red with Coal India, Reliance Industries, Power Grid and Yes Bank among the top losers.
· Foreign investors pulled out around Rs.1,415 crore from capital markets.
Source : The Hindu