Declining euro precipitated the fall of rupee in the last couple of hours of trading The rupee touched an all-time low of 60.76 a dollar on June 28, breaching its previous historic low of 59.98 (intra-day). It closed at 60.71/72 as compared to its Tuesday’s close of 59.66/67 in the foreign exchange market. “It was a sharp reaction and it was not expected,” said N. S. Venkatesh, Chief General Manager, Treasury, IDBI Bank. Stop-loss The moment the rupee touched 60, there were lots of stop-losses which got triggered and short positions were covered resulting in rupee depreciating further. The dollar has strengthened against all major currencies and the dollar index also strengthened. “The weakness is expected to continue for a couple of days and the rupee is expected to pull back after that on expectation of dollar inflows for the HUL share buyback as also remittances from NRIs,” said Mr. Venkatesh. According to him, it would strengthen to 59.50 levels in the cur...