There is no reprieve for the battered rupee, with the currency closing at around 79.30 per dollar on Wednesday, not far from its all-time low in the previous session, driven by risk-off sentiment over fears of a global recession as a result of anti-inflationary central banks.
Markets are also waiting for clues from the minutes of the US Federal Reserve meeting to be released on Wednesday.
PTI reported that the rupee gained 3 paise and closed for the time being at 79.30 against the US dollar.
Bloomberg traded the rupee at about $79.30 per dollar after finishing at a new lifetime weak level of 79.37 in the previous session.
The dollar index, a measure of the greenback’s performance against its competitors, was trading at 106.57, just outside its overnight 20-year peak in demand for port assets.
The background to the growing fear of a recession is the sharp rise in interest rates worldwide.
What has not helped the domestic currency has been the surge in global energy prices due to tight supply sentiment from the Russia-Ukraine war and the ensuing sanctions against Moscow, including a ban on its oil.
Crude oil prices rose above $100 a barrel on supply tight concerns, offsetting the significant losses previously caused by the projected decline in demand amid mounting recession risks.