Indian Rupee hits record low below 68 per dollar; posts biggest day fall in 18 years

Thursday, 29 August 2013 00:00 -     - {{hitsCtrl.values.hits}}

Reuters: The rupee slumped to a record low below 68 per dollar and shares tumbled on Wednesday on growing worries that foreign investors will continue to sell out of a country facing stiff economic challenges and volatile global markets. The Indian unit recovered later. Foreign investors sold nearly $1 billion of Indian shares in the eight sessions through Tuesday - a worrisome prospect given stocks had been the country’s one sturdy source of capital inflows, although net purchases so far this year still total $12 billion. The partially convertible rupee hit a record low of 68.75, down 3.7% on the day, after posting its biggest daily%age fall in 18 years on Tuesday. At 1508 IST the unit was trading at 67.67 per dollar. The rupee has now fallen around 19% so far this year, by far the biggest decliner among the Asian currencies tracked by Reuters.