Indian rupee turns positive after hitting fresh record low of 74.48/USD
After hitting a fresh record low of 74.48 the Indian rupee is trading marginally higher at 74.16 per dollar against previous close of 74.20.
It opened lower by 10 paise at 74.30 per dollar.
Yesterday rupee ended higher, registered a gain after six consecutive session fall.
India’s battered rupee is expected to stay that way for a while, trading near recent record lows over the coming year even as the Reserve Bank of India is forecast to raise rates in December and once more in 2019, Reuters polling found.
The rupee has hit repeated record lows against the dollar this year in its worst run since the financial crisis. It is down over 16 percent so far this year, tracking a deep selloff in emerging markets driven by a resurgent dollar and the ongoing U.S.-China trade war.
According to Motilal Oswal, rupee strengthened marginally against the US dollar, tracking gains in Asian peers. Besides, hopes of the government announcing more measures provided support to the currency.
The government is considering tapping citizens abroad to prop up the rupee. Officials from the finance ministry and the central bank are discussing a plan to raise money from non-resident Indians. Also, The Reserve Bank of India reported that it would buy Rs 12,000 crore worth of bonds via an open market operation on October 11, it added.