Rupee hits a new low of 88.73 against U.S. dollar

The rupee depreciated 45 paise to hit a new low of 88.73 a dollar on Tuesday (September 23). This comes at a time when the dollar is also depreciating in response to the staggered U.S. foreign policy. The major trigger behind this trend is that there is no clarity yet on the tariffs, said experts. Further, the central bank has not made any major intervention. “This is understood as the RBI may be of the view that arresting the depreciation at this point would not be necessary, which then sets the stage for further depreciation,” they added. After two consecutive days of depreciation triggered by global factors, the current decline makes rupee the weakest performer among Asian currencies.