Image from Reuters.
NEW DELHI (Bernama): The Indian rupee plunged to an all-time low of 87.29 versus the US dollar on Monday (Feb 3) as the currency felt the heat of the new US administration raising the spectre of a global trade war.
The rupee hit a record low as the dollar index surged, driven by President Donald Trump's imposition of tariffs on key US trading partners, including Canada, Mexico, and China, along with warnings of similar actions against the European Union.
The rupee's weakness in recent weeks has prompted the Indian central bank's intervention through dollar sales.
India faces a higher import bill and increased inflation with the currency's depreciation.
However, Finance Minister Nirmala Sitharaman, in a media interview on Sunday, defended the rupee's performance, saying it has fallen only against a stronger American dollar but not against other currencies. - Bernama
