The Indian rupee slipped to 62.34 per dollar on Thursday, its weakest level in over nine months since February 20. This is the fourth straight session of weakness for the rupee.
A sharp selloff in domestic equities and strength in the greenback pushed the rupee down, analysts said. The momentum of buying in domestic equities by foreign institutional investors has also slowed, which is also weighing on the rupee, analysts added.
The BSE Sensex and the broader Nifty were down for the fourth session in five on Thursday.
Moses Harding, group CEO and chief economist at SREI Infra tweeted, “Rupee found support at end Dec’14 $ at/above 63.50 (spot at 63.30-63.35) from risk-off exporter $ supplies; focus now at 62.10-62.35/62.50.”
As of 2.08 p.m., the rupee traded at 62.27 per dollar, down 25 paise or 0.40 per cent against its Wednesday’s close. Traders cited likely intervention by the Reserve Bank of India for the rebound.