PTI mumbai

The rupee logged a steep fall of 54 paise to settle at 85.94 against the US dollar on Monday amid rising global crude oil prices and a strong American currency. Subdued sentiment in domestic equities due to uncertainties over US President Donald Trump's trade tariffs put further pressure on the local unit, according to forex traders.

At the interbank foreign exchange, the domestic currency opened at 85.53 against the greenback and traded in a wide range of 85.51-86.03 before settling at 85.94, lower by 54 paise from its previous close. 

The rupee fell on constant buying by oil companies and importers as Saudi Arabia raised oil prices for Asian deliveries despite increase in output for the month of August and expectations for an increase of the output in September, Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said.

"Trump's (tariff) deadline of July 9 was approaching and there has been no sign of India-US trade deal happening... the rupee has fallen as the market is not expecting the deal to be done soon and the US could impose additional duties on India exports," he said.