The Indian rupee in trade on Wednesday (November 4, 2020) slumped to its lowest level in over two months against the greenback tracking strength in the US currency which was seen ahead of the US Presidential election outcome. The dollar index indicating dollar's strength against a basket of currencies was up 0.39 percent at 93.92.
The home currency weakened to 74.81 and was last seen trading at 74.69. On November 3, the rupee closed at 74.41 against the US dollar.
On the neck to neck race for the US Presidential position, the financial markets are experiencing bouts of volatility with emerging market currencies being no exception, which were largely trading weaker. Meanwhile the US equity futures as well as treasuries climbed as the result of the US election as per early tally is suggested to be closer than what polls estimated.
A private survey revealed that India's services sector registered a spike in activity for the first time in eight months during the last month as there was a revival in demand. The Nikkei services sector Purchasing Managers' Index (PMI) came in at 54.1 for the October month as against 49.8 in the previous month.
Meanwhile, Indian benchmark indices too were choppy in trade with Sensex up over 0.86 percent to 40628 and Nifty up above 11900 mark.