Rupee Hits Record Low Amid Dollar Demand Surge

19 Nov 2024 , 04:08 PM

Due to pressure from foreign banks and importers, especially domestic oil corporations, who demand dollars, the Indian rupee fell to its lowest point ever on Tuesday, according to dealers.

The rupee’s previous record low of 84.4125 was eclipsed by a low of 84.4150 last week. As of 1:35 p.m. IST, the currency was last quoted at 84.4075.

With state-run banks seen sporadically supplying dollars, dealers suggested that the Reserve Bank of India’s likely intervention helped the currency avoid additional losses.

While Asian currencies cut early gains to trade neutral, the dollar index was slightly higher at 106.3. The Malaysian ringgit increased by almost 0.3%, while the offshore Chinese yuan fell by 0.2%.

Sharp falls are still improbable since state-run banks are offering dollars in a “hovering kind of way,” according to a trader at a major private bank told ET.

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