Rupee hits fresh all time low as investors rush for safe haven assets

The rupee hit a fresh all time low during early trade on Tuesday, hitting 77.78/$ as the dollar continued to strengthen against major global currencies with risk aversion forcing investors to rush for safe haven assets.

This is the second consecutive trading session when the Indian currency hit fresh lows. On Friday - the previous trading day  - the rupee hit an intraday low of 77.63/$.

The Reserve Bank of India has beefed up its intervention in the currency market which slowed the pace of the fall. The Indian currency, which has depreciated around 4% in 2022, came under pressure following the Russian invasion of Ukraine. The foreign reserves have fallen around $35 billion since the war broke out in late February this year.