The rupee plunged by 70 paise to its life-time low of 76.34 against the US dollar on Wednesday as a rise in coronavirus cases in the country fanned fears of the Government extending the lockdown to contain the pandemic.
Forex traders said rising Brent crude prices and a firm US currency also weighed on the local unit.
At the interbank foreign exchange, the rupee opened weak at 75.83 and lost further ground to settle at 76.34, registering a fall of 70 paise over its previous close. On Tuesday, the rupee had settled at 75.64 against the US dollar.
“Rupee continued its weak trend after some respite yesterday. USD-INR pair in offshore market traded higher on Wednesday tracking the spike in spot pair due to rising case of coronavirus in India amid a strong greenback which is now trading again above 100 mark,” Jateen Trivedi, Senior Research Analyst (Commodity & Currency) at LKP Securities commented.
Domestic stocks declined on Wednesday as investors remained jittery on concerns over the Covid-19 pandemic. BSE Sensex ended 173.25 points or 0.58 per cent lower at 29,893.96 while the broader NSE Nifty closed 43.45 points, or 0.49 per cent, down at 8,748.75.
