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market | IST

Rupee at all-time low: What is pushing it down? HSBC India answers

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The rupee has shed 7.7 percent so far this year at its record low, making it the worst performing currency in Asia, followed closely by the Philippine peso.

A combination of many factors is pushing the rupee down, said Manish Wadhawan, managing director and head of fixed income, HSBC India, adding that the direction for rupee is negative at the moment and the currency may see further pressure.
Wadhawan said that the factors pushing rupee include FII outflow and crude prices.
“The Asian currencies have been depreciating against dollar and the dollar strength is also playing a role. So, it is a combination of a lot of factors ... rupee may remain under pressure for some more time and it is very difficult for me to point out the number where it can stop or how will it stop," he said.
The Indian rupee on Thursday hit its all-time low, breaching 69 per dollar for the first time ever. The currency opened at 68.89 against the US dollar, slipping 28 paise from the previous close of 68.61.
Read our column here: The rupee story – quo vadis?
The currency hit an all-time closing low of 68.82 on 28 August 2013 while the all-time intraday low stands at 68.8625 seen on 24 November 2016.
On Wednesday, the currency weakened to 68.61 to the dollar, its weakest since November 30, 2016, as high oil prices stoked importers to step-up purchase of the greenback.
The rupee has shed 7.7 percent so far this year at its record low, making it the worst performing currency in Asia, followed closely by the Philippine peso.