Indian Rupee hit All-time Low at Rs. 52 per dollar on 22 November 2011

The rupee fell to an all-time low on 22 November 2011 as oil refiners and other companies rushed to buy dollars in the  midst of swelling current account deficit and fears over the global economy and eurozone.

Exposure to short-term portfolio flows, a rising oil import bill and worsening government finances heightened the risk of the rupee which has been Asia's worst-performing currency in 2011.

The Indian rupee commenced in the lower ranges of Rs. 52 per dollar levels through 23 November 2011 as well. Rupee was seen plunging to record lows since 21 November 2011 having breached the so far all time lows of 52.06, seen on 5 March 2009.

In the spot currency market, the Indian unit was trading at around 52.22, up almost 21 paise or 0.40% as compared to previous close at 52.43.

FIIs sold Indian shares worth Rs. 952.68 crore on 22 November 2011, as per the provisional data from the stock exchanges. India's key benchmark BSE Sensex was at one moment down near 234 points at around 15831 while S&P CNX Nifty was lower by almost 75 points at around 4737.

The US Dollar Index, which measures the performance of the U.S. unit against six currencies was up 0.24%, at around 78.45 levels. Among Asian currencies, the Taiwan dollar was found to be down 0.26% at 30.38, the South Korean lost 0.38% at 1149.65 while the Indonesian Rupiah fell 0.88% at 9125.00 as against the US dollar.

Key benchmark indices dropped to 7-week lows at the onset of the trading session as a poor manufacturing survey from China and weaker-than-expected US economic growth raised fresh worries about the global growth. The barometer index, BSE Sensex, fell below the psychological 16000 on 23 November 2011.