In what can be called as a record low, the Indian rupee fell past 55 per dollar. With concerns of Europe’s debt crisis worsening, investors had no option but to pull money out of the emerging-market assets.
The Deputy Governor at the Reserve Bank of India said that the low was becoming frequent. Stating several factors, he said that demand for oil has been more while capital flows are not matching up.
The rupee dropped 1.1 per cent to 55.0350 per dollar in Mumbai as per the data compiled by Bloomberg. Kiran Kidwai – International Desk – NMTV