Rupee hits all-time low in early trade; falls 27 paise to 86.31 per dollar

The rupee's decline continued for the second consecutive trading session on Monday. The rupee fell 27 paise due to strong US currency amid volatile global cues. With this decline, the rupee came down to 86.31 per dollar. According to foreign exchange traders, the local currency was also under pressure due to a record jump in crude oil prices, continued withdrawal of foreign capital, and negative trends in domestic stock markets.

The rupee opened at 86.12 per dollar in the interbank foreign exchange market. After initial deals, it hit an all-time low of 86.31 against the dollar, showing a massive fall of 27 paise over its previous close. The rupee had closed 18 paise lower at 86.04 against the US dollar on Friday.

Meanwhile, the dollar index- which represents the position of the US dollar against six major currencies- stood 0.22 percent higher at 109.72. The yield on 10-year US bonds jumped to 4.76 percent, a level not seen since October 2023. International benchmark Brent crude edged up 1.44 percent to $80.91 per barrel.

The markets fell in early deals within the range on Monday, amid weak global 'trends and foreign capital outflows. The 30-share BSE Sensex declined 843.67 points to 76,535.24 in early trade, while the broader NSE Nifty slipped 258.8 points to 23,172.70.

Among the constituents of the 30-share pack of the Sensex, Asian Paints, Zomato, Mahindra & Mahindra, HDFC Bank, Bajaj Finance, Kotak Mahindra Bank and Tata Steel were the biggest laggards. IndusInd Bank, Axis Bank, Tata Consultancy Services, and Hindustan Unilever emerged as the top gainers.

In Asian markets, South Korea's Kospi, Hong Kong's Hang Seng and China's Shanghai Composite were in losses. US markets had closed with a negative trend on Friday. International standard Brent crude was up 1.62 percent at $81.05 per barrel.