The rupee today fell to a near-3-month low against the US dollar as foreign investors continued to sell their holdings in the domestic market on worries of widening trade deficit. Stronger crude oil prices further weighed on the currency.
The rupee opened at 64.49 to the dollar and hit an intraday low of 64.86. At 15:15 IST, it was trading at 64.76, 0.86 percent lower than its previous closing price.
Foreign investors have been selling off their positions in the Indian market for the last 7-8 trading sessions.
Experts believe this could be because of a disappointment with the budget and more recently, the Rs 11,400 crore Punjab National Bank fraud that came to light last week.
What may have also impacted the rupee was a wider fall in most Asian currencies. The South Korean won was down almost 0.5 percent, while China offshore, Indonesian rupiah and Singaporean dollar were all down 0.1 percent.
Watch Manisha Gupta, Commodities Editor, CNBC-TV18 explain the fall in the rupee.
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