Rupee falls 12 paise to hit all-time low of 83.38 against US dollar
Mumbai, Nov 20: The rupee declined by 12 paise to settle at its all-time low of 83.38 against the US dollar on Monday, tracking a negative trend in domestic equities.
Foreign fund outflows also weighed on the local unit, forex traders said.
At the interbank foreign exchange market, the local unit opened at 83.25 and settled at its lifetime low level of 83.38 against the dollar, registering a fall of 12 paise from its previous close.
On Friday, the rupee settled at 83.26 against the American currency. Earlier, the rupee closed at its lowest level of 83.33 against the dollar on November 13, this year.
"The Indian rupee ended weaker on Monday as sustained dollar demand from state-run and foreign banks maintained pressure on the local unit. The rupee finally settled at 83.3400 against the US dollar versus its close at 83.2700 on Thursday.
"The currency had previously closed at this level on November 10, the same day it fell to a record low of 83.42. The rupee ended weak despite a rally in its Asian peers," Sriram Iyer, Senior Research Analyst at Reliance Securities, said.
The dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.42 per cent lower at 103.48.
"Most Asian currencies strengthened, with the offshore Chinese yuan up over 0.6 per cent and leading the gains as the dollar weakened further this Monday's session. Additionally, the rupee has also struggled as dollar demand has persisted amid a lack of inflows," Iyer said.
In the overseas markets, the US Dollar Index was trading marginally weaker against the basket of currencies this Monday afternoon in Asian trading as traders awaited FOMC minutes this week, which could indicate when the Fed could start cutting rates.
Brent crude futures, the global oil benchmark, rose 0.66 per cent to USD 81.14 per barrel.
On the domestic equity market front, Sensex fell 139.58 points or 0.21 per cent to settle at 65,655.15 points. The Nifty declined 37.80 points or 0.19 per cent to 19,694.00 points.
Foreign institutional investors (FIIs) were net sellers in the capital markets on Monday as they sold shares worth Rs 645.72 crore, according to exchange data.
Meanwhile, India's forex kitty decreased by USD 462 million to USD 590.321 billion for the week ended November 10, the Reserve Bank said on Friday.
In the previous week, the overall reserves had increased by USD 4.672 billion to USD 590.783 billion.
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UDF leaders see local body poll trends as pointer to 2026 Assembly elections in Kerala
Thiruvananthapuram (PTI): Buoyed by the strong performance of the Congress-led UDF in the local body polls, KPCC president Sunny Joseph said on Saturday that the front's results indicated the people had rejected the LDF government.
According to early trends, the UDF was leading in more grama panchayats, block panchayats, municipalities and corporations than the LDF.
The local body polls were held in two phases in the state earlier this week.
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Speaking to reporters here, Joseph said the people of Kerala had extended their support to the UDF.
"We could expose the LDF government’s anti-people stance and the people understood it. The LDF’s fake propaganda was rejected by the people. The UDF is moving towards a historic victory," he said.
He said a united effort, proper preparations, good candidate selection and hard work had resulted in the Congress and the UDF’s victory in the elections.
Asked about the prospects in the Thiruvananthapuram Corporation, Joseph said the party was studying the matter and would comment later.
LDF convenor T P Ramakrishnan said the results would be closely examined.
According to him, the government had done everything possible for the people.
"Why such a verdict happened will be examined at the micro level. People’s opinion will be considered and further steps will be taken," he said.
He added that decisions would be taken after analysing the results. "If any corrective measures are required, we will initiate them and move forward," he said.
AICC leader K C Venugopal said the results showed that people had begun ousting those who, he alleged, were responsible for the loss of gold at Lord Ayyappa’s temple.
"This trend will continue in the Assembly elections as well. It is an indication that the people are ready to bring down the LDF government," he said.
Venugopal said the UDF had registered victories even in CPI(M) and LDF strongholds.
"I congratulate all UDF workers for their hard work. Congress workers and leaders worked unitedly," he said.
Referring to remarks made by Chief Minister Pinarayi Vijayan against the Congress on polling day, Venugopal said the voters had responded through the verdict.
"I do not know whether the chief minister understands that the people are against him. Otherwise, he does not know the sentiment of the people. The state government cannot move an inch further," he said.
He said the results indicated a strong comeback for the UDF in Kerala.
Asked whether the Sabarimala gold loss issue had affected the LDF in the local polls, Venugopal said the CM and the CPI(M) state secretary did not take the issue seriously.
"We took a strong stand on the matter. The BJP played a foul game in it," he alleged.
On the BJP's role in the local body elections, Venugopal alleged that the party operated with the CPI(M) 's tacit support.
"The CPI(M) supported the central government on issues such as PM-SHRI, labour codes and corruption in national highway construction. The CPI(M) is facing ideological decline, and the state government’s policies are against the party’s own decisions," he said.
Meanwhile, LDF ally Kerala Congress (M) leader Jose K Mani said the party could not win all the wards it had expected in the elections.
He congratulated winners from all parties and said the party would closely examine the losses and identify shortcomings. "Later, we will take corrective measures," he added.
Senior Congress leader and MP Rajmohan Unnithan said the trends in the local body elections indicated that the UDF would return to power in the 2026 Assembly elections.
"We will win 111 seats as in 1977 and return to power in 2026. The anti-government sentiment of the people is reflected in the elections," he said.
Unnithan said the people were disturbed and unhappy with the present government.
"The trend indicates the end of the LDF government," he added.
CPI(M) MLA M M Mani said the people had shown ingratitude towards the LDF despite benefiting from welfare schemes.
"After receiving all welfare schemes and living comfortably, people voted against us due to some temporary sentiments. Is that not ingratitude," he asked.
Mani said no such welfare initiatives had taken place in Kerala earlier.
"People are receiving pensions and have enough to eat. Even after getting all this, they voted against us. This is what can be called ingratitude," he said.
Muslim League state president Panakkad Sayyid Sadiq Ali Shihab Thangal said the results were beyond expectations.
"The outcome points towards the Secretariat in Thiruvananthapuram, indicating that a change of government is imminent. We are going to win the Assembly election," he said.
