Indian rupee falls 13 paise to 94.76 against US dollar
The Indian rupee dropped by 13 paise on Tuesday, closing at 94.76 against the US dollar.
It opened at 94.73 and moved between 94.63 and 94.92 throughout the day.
The main reasons? A stronger US dollar and shaky local stock markets, though lower global crude oil prices did help soften the blow a bit.
Importers hedge amid US dollar demand
Experts say importers are hedging more and there are worries about US interest rates going up, which pushed the rupee down further.
Brent crude fell to $77.48 a barrel, while the dollar index ticked up to 101.09, so demand for US dollars is high worldwide right now.
Meanwhile, Sensex dropped by over 893 points and Nifty lost nearly 279 points on Tuesday.
Looking ahead, analysts expect the rupee to stay between 94.20 and 95.00 for now, with hopes that foreign deposits and cheaper oil might keep things from getting worse soon.