For the fourth straight session, the rupee sets a new record low

14 Jul 2022 , 10:08 AM

On July 14, after faster-than-expected June inflation statistics fanned rumors that the Federal Reserve may hike key interest rates by as much as one percentage point in the forthcoming meeting, the Indian rupee set a new record low versus the US dollar for the fourth consecutive session. The national currency has hit record lows seven times this month.

At 9.20 am, the rupee was down 0.17 % from its previous closing of 79.64, trading at a lifetime low of 79.77. The 10 Year Bond Yield, on the other hand, increased 4 basis points from its previous closing of 7.338 % to reach 7.38 %. Bond prices and yields follow opposing trends.

The highest rise since the Fed began actively using overnight interest rates to conduct monetary policy in the early 1990s, investors wager that the US Fed will raise interest rates by 100 basis points when it meets on July 26—27.