In the previous session, the rupee had declined by 4 paise to hit a record closing low of 78.37.New Delhi: The rupee plunged to a new all-time intra-day low of 78.59 per dollar on Tuesday after closing at record lows in each of the previous four trading sessions, tracking weakness in global stocks from Wall Street’s poor performance overnight and as oil prices rebounded after last week’s rout.PTI reported that the rupee opened on a weak note at 78.53 against the dollar, then lost ground to quote at 78.59 — its all-time low level, registering a fall of 22 paise from the last close, hurt by persistent foreign fund outflows and economic slowdown fears.Bloomberg quoted the rupee at 78.66 against the US currency.That despite the the dollar index, which gauges the greenback’s performance against a basket of six currencies, was trading a touch lower on the day.In the previous session, the rupee had declined by four paise to hit a record closing low of 78.37 against the greenback.”Persistent selling by FIIs (Foreign Institutional Investors) in the domestic markets is also putting pressure on the rupee,” Rahul Kalantri, Vice President for Commodities at Mehta Equities, told PTI.According to Kalantri, further economic sanctions on Russia may drive global energy prices higher and put pressure on emerging market currencies. “We expect the rupee to remain volatile this week and could cross 78.55 levels,” Kalantri said.Early Asian trading saw an increase in oil prices of roughly 1 per cent as the energy minister of the United Arab Emirates revealed that the country was producing close to its maximum capacity, defying expectations that it may help increase supply in a constrained market. Indeed, following last week’s collapse, a rise in crude oil prices further lowered market confidence. Brent crude futures jumped $1.08, or 0.9 per cent, to $116.17 a barrel today.However, if the rupee continues to decline during the session, traders anticipate that the domestic currency will be supported by central bank dollar sales, limiting its losses.Tuesday’s opening trades saw a decline in Indian equities indexes, ending a three-day gaining streak amid subdued indications from the international markets. Early trading saw a decline in Asian shares, mirroring the overnight choppy Wall Street session.
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