Rupee hits record low of 71 per dollar on global trade tensions

The rupee fell to a record 71 per dollar in opening trade on Friday, tracking weakness in almost all other Asian peers as the latest round of U.S.-China trade tensions dulled investor risk appetite and gave a boost to the dollar.

The partially convertible rupee was trading at 70.93/94 per dollar, compared with its previous close of 70.74. It touched 71 per dollar in opening deals before recovering slightly on the back of dollar sales by state-run banks.

Traders said the Reserve Bank of India was likely sporadically selling dollars through state-run banks to prevent a sudden sharp fall but traders do not expect any major intervention as the fall has been in line with fundamentals.