The Indian rupee today hit a new lifetime low of 69.09 to the dollar in the forex market, on sustained demand for the US Dollar.
The drop in the rupee was largely on factors like strong dollar against a basket of global currencies and a sharp rise in crude prices. The rupee was last seen trading at 68.93 to the american currency and had dipped to as low as 69.09 to the dollar in early morning trade.
The Indian rupee is now one of the worst performing Asian currencies and could test the 70 levels.
There was some demand from Foreign Portfolio Investors, and also month end demand from oil marketing companies. A strength in the dollar index against a basket of currencies and trade wars continued to support the dollar.
There may now be some aggressive intervention by the RBI going forward. Meanwhile, Indian benchmark indices lost ground after reports of the rupee falling sharply against the dollar. The Nifty was down as much as 20 points, led by a sharp drop in oil marketing company stocks.
In Asia, Japan's Nikkei gained 0.10 per cent, while Hong Kong's Hang Seng was flat in trade. The Shanghai Composite Index too was down 0.24 per cent. The US Dow Jones ended lower by 0.68 per cent in yesterday's trade.