USD/INR closed at 73.5750 against its open at 73.59.Dollar/rupee ended at fresh record high Thursday on buying by oil importers as Brent crude oil prices hit a four-year high amid a strong greenback. Also, likely overseas funds outflow from local stocks helped keep the demand for the greenback intract
"Brent surged above $86/bbl is creating panic among investors. Foreign banks including Bank of America and Deutsche Bank bought dollars following the movement in the dollar index The Reserve Bank of India intervened into the forex market around intraday high of Rs 73.80/$1 to stem further gains in the pair. Following RBI intervention, exporters covered their dollar holdings.
Meanwhile, oil prices moved up despite US Energy Information Administration's data that showed domestic crude supplies to have surged by about 8 million barrels in the week ended Sep 28. That was the largest weekly climb so far in the year.
Also, Brent crude soared to a four-year high as concerns over supply constraints grew stringent ahead of the upcoming US sanctions on Iran despite a unexpected build in US crude stockpile and reports of higher production by Saudi Arabia and Russia.
Market sees a big sell-off day; Sensex plunges 806 pts, Nifty ends below 10,600.