Rupee falls 1 paisa to new all-time low of 84.39 against dollar

Mumbai: The rupee fell 1 paisa to a new lifetime low of 84.39 against the US dollar on Tuesday as persistent foreign fund outflows and a strengthening greenback against major crosses overseas dented investor sentiments.

Forex traders said the rupee is likely to trade between 83.80 and 84.50 in the medium term, with the Reserve Bank of India likely limiting any significant downside, aided by its robust foreign exchange reserves.

At the interbank foreign exchange, the rupee opened at 84.39 against the US dollar. During the session, the local currency touched a high of 84.39 and a low of 84.41. It finally settled at 84.39, a decline of just 1 paisa against the US currency, registering a loss for the fifth straight session.

On Monday, the rupee dropped 1 paisa to hit a new lifetime low of 84.38 against the US dollar.

In the last five sessions, the local unit has lost 32 paise against the greenback.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.06 per cent higher at 105.60. Meanwhile, an SBI research report on Monday said that the rupee may depreciate 8-10 per cent against the US dollar during the Trump 2.0

regime.