Rupee falls 51 paise, ends below 87 against dollar again

With continued capital outflows and rising crude prices, rupee weakness is likely to persist despite intervention by the RBI. “Support is seen near 87.45, while resistance remains at 86.85. Market focus remains on global risk sentiment, oil price trends and central bank policy signals,” he said.
Foreign investors have pulled out Rs 46,792 crore from Indian stocks in February so far.

Apart from the rupee, other Asian currencies also depreciated against the dollar during the day. The Thai Baht was down 0.52 per cent and the Indonesian Rupiah 0.43 per cent. The dollar index, which measure American currency’s value against six major global peers, rose further in the afternoon trade.

The dollar clawed back some losses after falling to its lowest in two-months the previous day, buoyed by safe haven flows after Trump said that tariffs on Mexico and Canada were on track. Trump said on Monday that the 25 per cent tariffs planned for Canada and Mexico, United States’s two biggest trading partners, would kick in from March.