Rupee breaches 72 to the dollar to hit new low, no RBI intervention seen

The Indian rupee breached the crucial 72 to the dollar mark on Thursday, extending losses as a rout in emerging markets kept investors on edge.

The rupee fell to a record low of 72.11 to the dollar at one point, with strong bids for dollars coming after 70 was hit, traders said.

The Reserve Bank of India was not spotted intervening after the rupee pierced the 72 level, two dealers said. It had been suspected of selling dollars earlier in the day.

"There is a panic now, especially among those who are unhedged," said a forex official at a state-run bank.

 

The rupee has fallen nearly 2 per cent this month and more than 12 per cent this year.