Rupee vs dollar check: Domestic currency slumps 35 paise to settle at all-time low of 93.88 against US dollar

The rupee dropped 35 paise to 93.88 (provisional) against the US dollar on Tuesday as a strengthening greenback against major crosses and elevated global crude prices spooked investors.

Foreign fund outflows amid uncertainties over the West Asia crisis further weighed on the local unit, forex traders said.

At the interbank foreign exchange, the local unit opened at 93.66 against the greenback and remained volatile throughout the session. It eventually settled at 93.88 (provisional), down 35 paise from its previous close.

The rupee breached the 94 level against the US dollar for the first time on Monday before closing flat at 93.53.

“Persistent FPI outflows continue to pressure INR. A strong US dollar is keeping emerging market currencies weak, and the INR has weakened by about 4.5% during the month. The rupee range for Wednesday is expected to be 93.65 to 94.25,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said.

Trump on Monday said the US was talking with a “respected” Iranian leader and claimed the Islamic Republic was eager for a deal to end the war.

He also extended the deadline for Iran to reopen the crucial Strait of Hormuz or face attacks on its power plants, saying it has an additional five days.

However, Iran's denial of Trump's claims and continued hostilities in the region created uncertainty, pushing up global crude oil prices.

The dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.23% higher at 99.18.

Brent crude, the global oil benchmark, was trading 1.45% lower at $101.4 per barrel in futures trade.

Stock market on Tuesday

The Indian stock market ended on a positive note on Tuesday, March 24, supported by upbeat global cues and easing geopolitical tensions. Both the benchmark indices ended nearly 2% higher, driven by a rally in auto and banking stocks.

At close, the S&P BSE SENSEX stood at the 74,068.645 level, soaring 1,372.06 points, or 1.89%, while the NSE's NIFTY50 index rallied 399.75 points, or 1.278%, to end at the 22,912.4 level.

The Nifty Midcap 100 index ended at the 54,087 level, rising 2.6%, while the Nifty Smallcap 100 gauge settled 2.63% higher at the 15,495.20 level.

All the sectoral indices ended the session with gains, with Nifty Media taking the lead, rising 3.45%. Nifty Private Bank (2.49%), Nifty Auto (2.43%), Nifty Consumer Durables (1.93%) and Nifty IT (1.72%) were the other top movers.

IndiGo operator InterGlobe Aviation (5.49%), Larsen & Toubro (5.17%), Bajaj Finance (4.97%), Eternal (4.89%) and Asian Paints (4.68%) were the most contributing stocks.