The Indian rupee on Tuesday plunged by another 13 paise to close at one-month low of 71.05 against the US dollar amid strengthening greenback and surging crude oil prices.
At the Interbank Foreign Exchange, the rupee opened weaker at Rs 70.79 then lost further ground and fell to a low of 71.15 against the American currency.
The domestic unit, however, gained some strength and finally settled at 71.05 a dollar, down 13 paise over its previous close.
This was the third straight session of loss for the rupee. The domestic currency Monday plunged by 43 paise to close at nearly one-month low of 70.92 against the US dollar. The Indian unit has lost 64 paise in these three sessions.
Forex traders attributed the rupee plunge to rising crude prices. However, heavy buying in domestic equities and fresh foreign fund inflows restricted the fall in the local unit to some extent.
Stronger dollar against its key rival currencies impacted the rupee trading pattern, they said.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was higher by 0.22 per cent to 95.81 in late afternoon trade.