The Indian rupee extended decline for the third straight session and plunged to a three month low on Thursday. INR depreciated 30 paise to close at 86.73 (provisional) against US dollar on Thursday, weighed down by the strength of the American currency in the overseas markets and rebound in international crude oil prices fuelled by ongoing geopolitical uncertainties. Moreover, muted domestic equity markets also added pressure on the rupee. A cautious undertone prevailed as investors reacted to hawkish commentary from the Federal Reserve and rising tensions in the Middle East. At the end of a two-day policy meeting on Wednesday, the U.S. central bank left interest rates unchanged but warned about higher inflation and slower economic growth in the months ahead. On the geopolitical front, speculation grew over a possible U.S. involvement in the Israel-Iran conflict. The benchmark S&P/BSE Sensex ended the session down 82.79 points, or 0.10 percent, at 81,361.87 while the broader NSE Nifty index slipped 18.80 points, or 0.08 percent, to 24,793.25. On the NSE, USDINR futures added 0.30% to end at 86.77.
Powered by Capital Market - Live News