Mumbai, March 20 (IANS). The Indian rupee has reached an all-time low of 93.12 against the dollar on Friday. This is the first time that the domestic currency has crossed the level of 93 against the American currency.
The value of rupee has fallen by 0.55 percent to 93.12 against the dollar. On Wednesday, the rupee closed at 92.63 against the American currency.
There has been pressure on the domestic currency since the war between Iran, America and Israel in the Middle East and since then it has fallen by about 2 percent against the American currency.
According to experts, the rupee is trading above the 92.8 level against the dollar, indicating continued pressure on the rupee amid higher crude oil prices and global risk aversion trend.
Ponmudi R, CEO, Enrich Money, said a sustained rise above 93.00 could strengthen the bullish trend, with 93.20-93.40 acting as resistance levels and 92.70 and 92.50-92.40 as support levels.
However, domestic stock markets are rising, with the Sensex rising over 900 points or nearly 1 per cent, while the Nifty is up nearly 300 points or 1.35 per cent.
Selling by foreign institutional investors (FIIs) continues. According to the exchange, on Thursday, FIIs had withdrawn Rs 7,558.19 crore from equities.
However, weakness is being seen in the prices of crude oil. Till the time of writing the news, WTI crude was at $ 93.65 per barrel with a weakness of 1.67 percent and Brent crude was at $ 107.3 per barrel with a decline of 1.20 percent.
The fall in oil prices came after US Treasury Secretary Scott Besant hinted that Washington may consider relaxing sanctions on Iranian oil held in the sea to help bring down global prices.
Despite the recent decline, crude oil prices have bounced back sharply amid geopolitical tensions. As the conflict in West Asia entered its 21st day, the price of Brent crude surged nearly 40 percent, from $77.74 a barrel on March 2 to $108.65 a barrel on March 19.
–IANS
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