The Indian rupee touched a record low for the second day in a row on Tuesday as both foreign and domestic investors snapped up dollars to reduce exposure to India's cooling economy. The partially convertible rupee ended at 53.22/23 to the dollar, down 0.7 percent from Monday's close of 52.84/85, after touching a record low of 53.52 during the day.
One-month offshore non-deliverable forward contracts were quoted at 53.68, lower than the onshore spot rate indicating a bearish outlook. The one-month onshore forward dollar premium was at 33.50 points, up from 33.25 on Monday. The three-month was at 79.50, up from 75 and the one-year premium was at 225.75, up from 216.50. In the currency futures market, the most traded near-month dollar-rupee contracts on the National Stock Exchange, the MCX-SX, and the United Stock Exchange ended at 53.4250, 53.4200 and 53.4150, respectively. Total volume was $6.12 billion.