India

Rupee Hits Two-Month Low

Dragged down in part by dollar demand from importers

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Tracking weak stock markets for the second straight day, the rupee on Friday plunged by 39 paise to close at a two-month low of 54.75 dragged down by sustained dollar demand from importers and capital outflows.

Brokers said a weak trend in euro in overseas markets also dampened the rupee sentiment against the US dollar.

At the Interbank Foreign Exchange (Forex) market, the domestic currency commenced higher at 54.30 a dollar from overnight close of 54.36. It immediately touched a high of 54.27 on initial jump in local stocks.