INSUBCONTINENT EXCLUSIVE:
The rupee fell 72 paise against the US dollar to close at 72.45 on Monday
That marked an all-time closing low for the rupee against the greenback
The plunge in the rupee to record levels came amid a fall in emerging market currencies fuelled by rising concerns on a trade war between
the US and China, the world's two largest economies
Continued concerns on the current account deficit front, driven by increasing crude oil prices, also battered the currency
During the session, the rupee registered a fresh all-time low of 72.67 against the greenback, before settling at 72.45 for the day
On Friday, the rupee had settled at 71.73 against the American currency.Here are 10 things to know about rupee's movement against the US
the greenback to more than 13 per cent so far this year
That also cemented the rupee's position as Asia's worst-performing currency.2
The dip to a fresh all-time closing low in the rupee came amid escalating concerns on the US-China trade war.3
Moody's Investors Service said the ongoing free fall of the rupee against the US dollar is credit negative for Indian companies,
especially for those that generate revenue in rupees but rely on dollar debt to fund their operations and have substantial dollar-based
Traders braced for a potential escalation in the tariff row between the world's two largest economies after US President Donald Trump
raised the stakes in the dispute on Friday.5
On Friday, Mr Trump warned he was ready to slap tariffs on virtually all Chinese imports into the United States, threatening duties on
another $267 billion of goods on top of $200 billion in imports primed for levies in coming days.6
Beijing has warned of retaliation if Washington launches any new measures, but it is running out of room to match them dollar-for-dollar,
raising concerns it could resort to other measures such as weakening the yuan or taking action against US companies in China.7
Crude oil prices rose to around $77.50 a barrel as investors anticipated lower supply once new US sanctions against Iran's crude exports
Outside the United States, Iranian crude oil exports are declining ahead of a November deadline for the implementation of new US sanctions.8
High crude oil prices coupled with weakness in the rupee are expected to widen the trade deficit as India meets more than 80 per cent of its
oil requirement through imports, say analysts.9
"The volatility in FX is likely to remain high despite light economic data from US, Europe and UK as trade war concerns could escalate
the Federal Reserve will keep raising US interest rates.10
The stock markets registered sharp losses on Monday, with the Sensex plunging 467 points to close at 37,922 and the NSE Nifty shedding 151
The Sensex and Nifty registered their biggest single-day in more than six months.(With agency inputs)
