Rupee in free fall, slides 21 paise to new 9-month low

Mumbai: Extending losses for the fourth session, the rupee weakened by 21 paise to trade at fresh 9-month low of 68.46 against the US dollar in early trade on Wednesday at the Interbank Foreign Exchange on sustained capital outflows amid the American currency strengthening overseas.

Forex dealers said apart from heavy demand for the American currency from importers, persistent outflows by foreign funds and the dollar’s strength against other currencies overseas mainly weighed on the domestic unit.

The rupee ended lower by 9 paise yesterday at 68.25 — its lowest in nine months — on heightened capital outflows.

Dealers said, however, a higher opening of the equity market, capped the fall.

Meanwhile, the benchmark BSE Sensex was trading higher 169.71 points, or 0.65 per cent, at 26,130.49 in early trade.

PTI