MUMBAI (Reuters) - Indian rupee weakened sharply on Tuesday on “chunky outflows” with no intervention seen by the Reserve Bank of India, traders said.
The rupee breached the crucial 71 to the dollar mark in early trade, its lowest since Dec. 18, 2018, and marginally cut back to trade at 70.99 to the dollar, as of 0422 GMT.
“There have been chunky outflows for the last two days. We are not sure what kind of outflows these are,” said a foreign bank dealer.
“There is no intent visible from the RBI to defend any particular level,” he added on any intervention noticed by the central bank through state banks to stem the sharp fall in the rupee.
Reporting by Suvashree Dey Choudhury, Editing by Sherry Jacob-Phillips