New Delhi, December 31, 2024.
The rupee depreciated 12 paise to close at a fresh record low of 85.64 against the US dollar on Tuesday, ending the year with a sharp 3 per cent loss on significant foreign fund outflows and a strong greenback in global markets.
Forex traders said the rupee has been under continued pressure amid the Federal Reserve’s cautious stance on rate cuts and the “Trump factor” driving up the dollar index (DXY) and US 10-year bond yields.
Additionally, slowing domestic macroeconomic growth, widening trade deficit and persistent foreign fund outflows have further fuelled the rupee’s depreciation.
