Rupee sinks to life’s low of 52.72 a dollar
22 Nov 2011
The rupee plummeted to a lifetime low of 52.73 against the US dollar, hammered by rising demand for dollar amidst outflows on FII divestments in Indian stocks.
A combination of rising dollar demand from oil refiners, slowing of exports and an increased outflow of short-term portfolio investments has made the rupee more vulnerable.
The rupee touched a low of 52.73 to the dollar in morning trade and was indicated at 52.58/59 at 10.40 am, down 0.8 per cent from the previous close of 52.1550/1650 a dollar.
The rupee was last seen hitting a record low against the dollar at 52.1950, on 3 March 2009.
The Indian unit is now down 16.8 per cent against the greenback from its July 2011 high of 44-45 to a dollar, pressed down by a volatile market and market sceptcism.
The RBI too seems incapable of reversing the rupee's fall by sustained intervention in the market as the resources at its disposal too are limited.
.webp)
