Mumbai: The Indian rupee devalued by 23 paise to 73.79 against the US dollar in early trade on Tuesday as American currency strengthened overseas. Market dealers have attributed the rupee’s fall to strengthening of American currency overseas, increased demand for the U.S. currency from importers and sustained foreign fund outflows.
On Monday, the rupee had closed 24 paise lower at 73.56 against the US dollar due to increasing capital outflows and strengthening of the American currency.
Moreover, the benchmark BSE Sensex continued its depreciating spree for the fourth straight day and slipped below the 34,000-mark in early trade due to unabated foreign fund outflows and selling by domestic institutional investors amid weakness in Asian markets.
The 30-share index slipped 204.78 points, or 0.60 per cent, to 33,929.60. The benchmark had lost 1,028 points in the previous three sessions.