Rupee Hits Two-Month Low Amid Global Market Risk Aversion

The Indian rupee plummeted to its lowest level in over two months on Thursday, closing at 96.31 against the US dollar due to risk aversion in global markets and rising global bond yields.

The rupee had opened at 95.95 but lost ground throughout the day, touching an intraday low of 96.34 against the American currency.

Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, expects the rupee to trade with a negative bias due to risk aversion and worries over rising global treasury yields.

Choudhary also noted that uncertainty over the US-Iran deal may further pressurise the rupee, but any intervention by the RBI may support it at lower levels.