The Indian rupee plummeted to a new all-time low of 70.50 against the US dollar today hurt by fresh demand for the American currency from importers. It plunged by a sharp 40 paise from its previous close of 70.10.

The overnight recovery of the greenback from its four-week low pushed the losses and ongoing concerns over the US-China trade war have kept the dollar strong. Additionally, the U.S. consumer confidence index came in higher than expected on Tuesday, reaching its highest level since October 2000, aiding the American currencies gains further.

The dollar is said to be highly correlated to its stock markets which reported new highs last week, keeping the currency strong. Experts are expecting the rupee to fall further in the coming sessions.

Meanwhile, the benchmark BSE Sensex rose nearly 100 points to hit another record of 38,989.65, and Nifty too hit a peak of 11,751.05, up 12.55 points or 0.11 percent.