Anindya Banerjee, Head of Commodity and Currency Research at Kotak Securities, on Wednesday stated that with crude oil prices remaining elevated, the rupee is likely to face continued depreciation pressures.
The NIFTY ended at 24,480.50, down 385.20 points or 1.55 per cent as of the time of filing this report. The index opened at 24,388.80 and touched an intraday high of 24,602.45 before sliding to a low of 24,305.40 during the session.
About a fortnight after breaching 90 mark, the Indian Rupee is inching towards 91, hitting a fresh all-time low. At the time of filing this report, the Rupee was trading at 90.904 per US dollar, with an intraday high of 90.957, just shy of 91.
Robust foreign fund inflows into Indian equities, the appreciating Rupee, and hints by the US central bank about the moderating rate of interest hikes supported investors' sentiment.
The rupee has come substantially off its all-time low. Currently, it is trading around 81.64-81.70 against the US dollar as against its record low of 83 it breached in mid-October, primarily due to the strength in the US Dollar Index.
At the time of writing this report, Sensex traded at 62,393.27 points, up 99.63 points or 0.16 per cent, whereas Nifty traded at 18,536.10 points, up 23.35 points, up 0.13 per cent.