Rupee falls to eight-month low

The Indian rupee dropped to an  eight-month low of 71.81 on Thursday, falling 26 paise against the US dollar, as falling equities and outflows of foreign funds impacted sentiment. The sudden fall in the Chinese yuan also led to higher volatility in currencies across emerging markets, including the rupee. Furthermore, the global crude benchmark Brent Futures has also increased by 0.75% 
to US$ 60.75 per barrel on Thursday.

Foreign investors withdrew Rs 902.99 crore from Indian equities on Thursday. The 10-year Indian government bond yield was also down at 6.56% on Wednesday. The announcement by the Chief Economic Adviser that there is no need for stimulus also dampened sentiments in the market. 

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