Rupee Slumps 14 Paise on Rise in Crude Oil Prices, Strong Dollar

The rupee fell 14 paise, or 0.2%, to an all-time closing low of 85.86 on Wednesday as the dollar further strengthened on account of positive economic data from the US, said forex traders.

- ANUPREKSHA JAIN

Besides, the rise in crude oil prices and selling by foreign investors in the domestic equities market weighed on the currency. Intra-day, the rupee touched 85.87 against a dollar.

Robust economic data from the US led to a rise in US Treasury yields to 4.68%, lending support to the greenback. US yields also remained elevated amid expectations of a delayed interest rate cut by the Federal Reserve. The surge in US yields was one of the major reasons for the fall in the rupee, after the currency appreciated 11 paise against the dollar on Tuesday.