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Rupee weakens and hit a new all-time low against US dollar on Thursday

26 Dec 2024 Evaluate
Indian rupee weakened and hit a new all-time low of 85.2625 against the US dollar on Thursday due to unabated foreign capital outflows, rising crude oil prices following volatile geopolitical situation, and increased month-end demand of the American currency.  Foreign Institutional Investors were net sellers in the capital markets on Tuesday, as they offloaded shares worth ?2,454.21 crore, exchange data showed. Rupee sentiments weakened further as investors focused on the US Federal Reserve's 2025 interest rate strategy and Donald Trump's tariff policies. Meanwhile firm domestic equity markets also failed to support the Indian currency. The forex markets were closed on Wednesday for Christmas holiday.

The partially convertible currency is currently trading at 85.26, weaker by 11 paise from its previous close of 85.15 on Tuesday. The currency touched a high and low of 85.2625 and 85.23 respectively.

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