Rupee falls further due to weaker shock markets

Rupee falls further due to weaker shock marketsThe Indian Rupee fell further to a week’s low after the stocks market in the country recorded weaker performance on Thursday and the Euro recorded losses in over seas market.

The rupee was at the level of 46.845/855 per dollar after touching 46.85, it’s weakest since last Monday. The domestic stock market was trading 0.5 percent lower following weak performance by world markets as investors were concerned about global economy.

Another reason for the weakening of the rupee at the Interbank Foreign Exchange market was due to increased dollar demand from importers. The most traded near-month dollar-rupee contracts on the National Stock Exchange as well as MCX-SX were at 46.8625 and the total traded volume at the two exchanges was at about $1.7 billion. The One-month offshore non-deliverable forward contracts were at 47.09.

Meanwhile, the index of dollar against six majors was 0.4 percent higher and most Asian Currencies were weaker against the dollar. The Euro fell to its nine year low against the Yen on Tuesday.