The Indian rupee continued to fall, falling 60 paise to a record low of 77.50 against the US dollar on Monday, weighed down by the dollar's strength overseas and continuing foreign fund outflows.Risk appetite has diminished, according to forex traders, as inflation fears grow, perhaps prompting more aggressive rate hikes by global central banks.
The rupee opened lower versus the greenback on the interbank foreign exchange market, at 77.17, and ended the day at 77.50, down 60 paise from its previous finish. The rupee hit a lifetime low of 77.52 during the trading session. The rupee fell 55 paise to settle at 76.90 last weekend.
The rupee has lost 115 paise against the dollar in the last two trading days. Brent crude futures declined 1.68 percent to USD 110.50 a barrel, the global benchmark.
At the Indian equity market front, the 30-share BSE Sensex sank 364.91 points, or 0.67 percent, to 54,470.67, while the NSE Nifty dropped 109.40 points, or 0.67 percent, to 16,301.85. According to stock exchange data, foreign institutional investors were net sellers in the capital market on Friday, offloading shares worth Rs 5,517.08 crore.