The rupee has plumbed to a new life time low Thursday crossing the sensitive 85 mark to a dollar weighed on a by train of headwinds with latest being the massive crack in US stocks after the Federal Reserves last night said it would slow down more rate easing from now on after lopping off another 25 bps of its funds rate. This had its ripple effect on the domestic market which tanked close to 2 per cent in early trade and thus the rupee plunged 12 paise to 85.07.
Between October 10 and December 19, the local unit lost 100 paise. Early Thursday the rupee plunged 12 paise to hit a low of 85.07. This day last December the local currency was at 83.02.
Traders attributed the hawkish stance of the US central bank which sparked a broad dollar rally as the main pain point for the rupee.
The development comes two months after the rupee had fallen below the 84 mark on October 11.
