Rupee hits all time low of 88.49 in early trade on weak Asian cues

Indian rupee

Indian rupee hit an all time low of 88.4950 against the US dollar in early trade. The rupee opened 10 paise lower on September 23 on weak Asian currencies amid firm dollar.

The domestic currency opened at 88.4137 against the US dollar, as compared to 88.3163 against the greenback at previous close.

Asian currencies were trading down today with South Korean Won down by 0.22 percent, Thai Baht by 0.16 percent, Indonesia Rupiah by 0.08 percent, Singapore dollar, Japanese Yen and Hong Kong Dollar by 0.05 percent each, according to the Bloomberg data.

The currency experts also said that persistent headwinds like enhanced US tariffs on Indian goods as well as US Visa fees of $100,000 on H1B visas has been rupee under pressure.

The hike in H1B visa fees sparked worries over remittances and potential equity outflows from India’s IT sector, a double hit that the currency could ill afford at a time when foreign inflows have already been weak this year.

"With the dollar index on a weaker footing, the rupee is expected to appreciate from current levels, with support placed around 87.90–88.00," Amit Pabari, managing director at CR Forex Advisors said.