Rupee depreciates to near-record lows

Forex kitty down by $2.39 billion to $560 billion

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Mumbai: The rupee depreciated Tuesday to close at a near-record low level of 76.83 per dollar.

The weakness in Indian currency came on the back of the crash in the US oil prices and slump in the domestic stock market, analysts said.

It depreciated 29 paise to close at 76.83 per US dollar. The record low level of rupee is 76.87 which it touched last Thursday.

Financial and commodity markets off late have been on a free fall globally amid the coronavirus crisis.

The historic plunge in crude oil prices is a major factor for the weakness in rupee on Tuesday. On Monday, for the first time ever, WTI crude fell below zero and reached an all-time low of -$40.32 per barrel due to a supply glut and declining storage capacity in the US.

The May contract of WTI crude is still in the negative zone and currently is trading at -$8.10 per barrel.

The Indian stock market also slumped on Tuesday with the BSE Sensex losing over 1,000 points. At 3.30 p.m., it provisionally closed at 30,636.71, lower by 1,011.29 points or 3.20 per cent from its previous close.

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