Rupee falls to five-month low

Rupee falls to five-month low

Rupee falls to five-month low

The Indian rupee fell to 61.34 against a dollar Wednesday from its previous close of 60.85, attributed to the exiting of foreign funds from the markets.

The partially convertible rupee fell to its lowest mark in the last five months in early trade at the Interbank Foreign Exchange Markets here.

Analysts' said that huge outflow of foreign money in equities markets and sale of American currency by banks and exporters weakened the Indian currency position.

"Today's movement is impacted by international economic and geo-political situation," Anindya Banerjee, currency analyst, Kotak Securities, told IANS.

"Going forward US fed decision on interest rates and stimulus easing have to seen to know the impact it have on the emerging markets, especially India."

Data with the National Securities Depository Limited (NSDL) showed that foreign funds were net sellers Tuesday in the markets to the tune of $112.91 million, or Rs.688.97 crore.

The Indian currency touched a high of 61.41 and low of 61.02 against a dollar in the intra-day. The rupee was quoted at 61.19 against a dollar at 2.40 p.m. Indian Standard Time (IST).