Bombay:
The rupee fell 102 paise and closed at 75.63 (provisional) against the US currency on Thursday as riskier assets took a hit after Russia launched military operations against Ukraine.
Forex traders said continued foreign fund outflows, heavy domestic stock sales and high crude oil prices weighed on investor sentiment.
In the interbank currency market, the rupee opened at 75.02 against the US dollar, but later dropped to a low of 75.75 against the dollar.
The local unit eventually finished at 75.63, down 102 paise from the previous close.
Meanwhile, the dollar index, which measures the dollar’s strength against a basket of six currencies, was trading 0.74 percent higher at 96.90.
The global oil benchmark Brent oil futures rose 8.36 percent to USD 104.94 a barrel.
“The rupee became the worst-performing currency among Asian currencies due to dollar demand from oil importers at the end of the month. Demand for safe havens has also risen after Russia’s attacks on Ukraine fueled the sell-off of risky assets said Dilip Parmar. , Research Analyst, HDFC Securities.
The price of Brent crude soared past the USD 100 a barrel mark amid geopolitical concerns, deteriorating sentiment for the rupee.Spot USD-INR gained support at 74.30, the 200-day simple moving average, and is now moving towards a monthly high of 75.72, Parmar said.
In the domestic stock market, the 30-stock Sensex finished 2702.15 points or 4.72 percent lower at 54,529.91, while the broader NSE Nifty fell 815.30 points or 4.78 percent to 16,247.95.
According to stock market data, foreign institutional investors remained net sellers in the capital market on Wednesday as they sold shares worth Rs 3,417.16 crore.