Indian rupee slides despite broader dollar weakness

The Indian rupee declined on Tuesday due to dollar bids from foreign banks, possibly on behalf of custodial clients, and a weaker Chinese yuan, despite positive signals from the overall weakness of the US dollar.

The rupee ended the day at 85.6350 against the US dollar, marking a decrease of approximately 0.3 per cent.

Asian currencies showed a mixed performance for the day, with the offshore Chinese yuan decreasing following China’s reduction of key benchmark lending rates and continued high corporate demand for dollars.

Attribution: Reuters
Subediting: M. S. Salama