Rupee breaches 70-mark, hits life-time low

Rupee continues its downward spiral after recovering briefly on Tuesday

Cash money rupee representational image Representational image | PTI

Rupee plunged to a life-time low of Rs 70.06 against the US dollar on Tuesday. Rupee breached the psychological 70-mark for the first time after briefly recovering during early trading hours on Tuesday. 

The economic crisis in Turkey is blamed for the current drop in rupee value. 

Rupee had hit an all-time low of 69.91 on Monday, but strengthened by 23 paise to 69.68 against the US dollar in opening trade at the interbank foreign exchange market on Tuesday on some macroeconomic boost. This was soon followed by a high in the stock market. The benchmark Sensex recuperated by nearly 185 points to 37,829.93 in early trade on Tuesday. The gauge had lost 379.47 points in the previous two sessions.

Similarly, the NSE index Nifty recovered by 36.25 points, or 0.31 per cent, to 11,392.

Asian shares were mixed as tremors from the collapse of the Turkish lira ebbed a little. Ahead, a barrage of economic data out of China is expected later in the day.

Japan's Nikkei rose 1.26 per cent, while Hong Kong's Hang Seng shed 0.94 per cent and China's Shanghai Composite fell 0.50 per cent in their early deals.

The Dow Jones Industrial Average was down for a fourth straight session as the ongoing turmoil in Turkey dampened investors' appetite for riskier assets.

The US Dow Jones Industrial Average had closed 0.50 per cent lower on Monday's trade.

(With inputs from PTI)