The rupee collapsed in the last one hour of trade to close at its lowest level at 63.13 against the dollar. Today's rupee fall of 1.48 against the dollar was the biggest fall of the currency in a decade.
Some of the Asian currencies like the Indonesian Rupiah and the South African Rand were also weak in trade against the US dollar.
Dealers expect the rupee to continue to weaken in trade and say today's last hour of trade was largely on account of short covering.
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