Business | Markets
Indian rupee falls to 3-week low
The Indian rupee slid 0.6 per cent to its lowest in three weeks on Tuesday as foreign portfolio outflow worries gathered momentum after the stock market extended a slide into a fifth session in a row.
- Reuters
- Published: 23:40 November 18, 2008
Mumbai: The Indian rupee slid 0.6 per cent to its lowest in three weeks on Tuesday as foreign portfolio outflow worries gathered momentum after the stock market extended a slide into a fifth session in a row.
Foreign funds have withdrawn $13.1 billion from Indian shares this year, adding to downward pressure on the rupee that has been weighed down by a widening trade deficit as export growth slows down.
Finance Minister Palaniappan Chidambaram hinted yesterday exports could miss the government's annual target of $200 billion for this fiscal year as the slowdown in developed nations trims overseas demand.
Main index slips
The partially convertible rupee ended at 49.66/67 per dollar, off a low of 49.80, its lowest since October 29 and weaker than Monday's close of 49.34/36. It had hit a record low of 50.29 on October 27.
The main stock index fell 3.8 per cent yesterday, taking its losses to 15.2 per cent over five consecutive sessions, as prospects of a global recession and massive job cuts at Citigroup rattled investors.
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