Rupee falls to near two-month low ahead of monetary policy on Omicron fears

Indian unit could be under pressure in the coming days as trade deficit and Fed's increase of monthly taper plan could further upset the sentiment for the foreign portfolio investors

The rupee fell to a near two-month low on Monday as equities fell tracking the rise of the Omicron variant of coronavirus in India.  

The fall in the exchange rate came when the six-member monetary policy committee (MPC) of the Reserve Bank of India (RBI) started its three-day meetings on Monday. The policy will be announced on Wednesday.  

The partially convertible currency fell to 75.4250 a dollar, down from its previous close of 75.12. This is the lowest since October 12.  

The rupee lost the most in the region, falling 0.338 per cent. The dollar index, which measures the greenback’s