Logging its first fall in eight sessions, the Indian rupee on September 16 plunged by 68 paise to 71.60 against the US dollar amid concerns over soaring crude prices following drone attacks on Saudi Arabia’s oil facilities.
Surging crude oil prices have emerged as major fears for India, the world’s third-largest oil importer, in form of fiscal slippage and inflationary pressure.
The drone attacks on September 14 targeted Abqaiq, the site of the largest oil processing plant run by the Saudi state oil company, Aramco, and the Khurais oilfield.
At the interbank foreign exchange market, the local unit opened lower at 71.54, then fell to a low of 71.63 during the day. The rupee finally closed at 71.60, down 68 paise over its previous close.
