Under Pressure
As the Indian rupee reached a record low of 87.58 to the dollar on Thursday, it finds itself at a critical juncture, navigating a sea of global and domestic pressures.
The summary of the US central bank’s previous meeting released yesterday also showed a strong degree of caution over the timing of future interest rate increases.
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This made the American currency lose its sheen further among banks and exporters.
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The dollar also gave up ground against other currencies overseas and a higher opening in domestic equities backed the rupee momentum.
Yesterday, the rupee had closed higher by 14 paise at 65.14 against the greenback after a steady dollar unwinding by exporters and corporates.
The benchmark Sensex rose by 112.53 points, or 0.35 per cent, to 31,946.52, in early session today.
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The rupee held its ground and rose 4 paise to 65.10 against the dollar on Thursday after the US Fed minutes signalled “patience in removing policy accommodation”.