The value of rupee touched record low of 73.34 against the dollar on Wednesday. The rupee plunged below the 73-mark amid strong demand for the American currency from oil importers and unabated capital outflows.
The rupee fell by 43 paise against the dollar to 73.34 during the early trading session on Wednesday as against the previous close of 72.91 against dollar on Monday.
Markets were closed on Tuesday due to Gandhi Jayanti.
The Brent crude oil price crossed $ 85 per barrel on Tuesday and energy experts expect the price to touch $ 100 per barrel. Investors remained concerned over sustained foreign capital outflows. Soaring crude oil prices continue to exert pressure on the Indian currency.
According to forex dealers, besides strong demand for dollars from importers, concerns of fears of rising fiscal deficit and capital outflows mainly weighed on the value of rupee.
News credit : Indiatoday