After plunging to a record low of 88.8850 against the US dollar, the local currency concluded the day at 88.7888 against the US dollar, down from 88.7612 at the previous closing.
According to currency analysts, the Indian rupee fell 2 paise on September 30 after hitting a new record low on September 30 due to caution ahead of the Reserve Bank of India’s Monetary Policy Committee’s rate decision and ongoing selling by foreign investors from stocks.
Compared to 88.7612 at the previous close, the native currency fell to a record low of 88.8850 against the US dollar before closing at 88.7888 versus the greenback.
“FPIs have been purchasing money and selling stocks on a regular basis. The purchasing absorbs whatever influx that does occur, and there has not been any significant inflow. For the fifth consecutive month, there has been a decline in equity prices due to dollar buying and selling caused by the tariff and visa issues, according to Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors LLP.
Due to concerns about tariffs and the problem of visa fees, foreign investors have been net sellers in the equities market. Another factor fueling the pessimistic outlook on markets, which have been down for the last seven sessions, is the persistent selling by foreign investors.
Experts said that traders are becoming cautious in front of the RBI’s October 1 announcement of its monetary policy. According to a Moneycontrol survey of 15 economists, bank treasury executives, and fund managers, the MPC is probably going to keep interest rates unchanged in its October review.
The rupee range is anticipated to be between 88.45 and 89.15, according to Jateen Trivedi, VP Research Analyst-Commodity and Currency at LKP Securities, who said that traders are likely to remain cautious given the policy decision.