Mumbai, September 3:  The Indian rupee recorded to a new lifetime low of 71.10, shedding 10 paise against the US dollar in late afternoon trade on Monday. According to reports, this is because of the weakening trend in emerging market currencies. A surge in global oil prices, concerns over US-China trade war and contagion risks from Turkey and Argentina are the factors impacting forex market sentiment, a PTI report said.

During the early morning trade on Monday, the rupee recovered at Rs 71.12 against the US dollar. It must be noted that the rise in Indian currency can be attributed to the robust GDP (Gross Domestic Product) growth data for the April-June quarter of the current fiscal.  Brokers informed that the rupee's recovery from its record low against the dollar and fresh buying by domestic institutional investors also fuelled the uptrend in the market.

In August, the rupee had retreated sharply to hit a record closing low of 70.16 against the dollar. The Indian currency plunged sharply despite a huge rally in equities and easing worries over near-term monetary policy tightening by the US Fed.

On Friday, the rupee recorded a fresh all-time closing low of 71 against the US dollar as rising crude oil prices dragged the rupee to fresh record lows. Sensex and Nifty opened on a positive note on Monday. The 30-share index rebounded by 289.28 points, or 0.74 per cent, to quote at 38,934.35.  The NSE Nifty also went past 10,700 rising 71.30 points, or 0.61 per cent, to 11,751.80.

(The above story first appeared on LatestLY on Sep 03, 2018 05:17 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).