The rupee weakened 0.3 per cent versus the US dollar on Wednesday as the greenback strengthened globally ahead of a likely 75-basis-point rate hike by the US Federal Reserve, dealers said.
The rupee settled at 79.98 per US dollar as against 79.76 per dollar at previous close. So far in 2022, the rupee has depreciated 7.1 per cent against the US dollar. Wednesday’s value was just 1p from the record closing low of 79.99 per US dollar on July 20.
In its policy statement scheduled late Wednesday, the Federal Reserve is expected to raise interest rates by at least 75 bps, with close to 30 per cent of traders in federal funds futures pricing in a 100-bps hike.