NEW DELHI: After consolidating in a narrow range, the Indian rupee finally breached its key psychological level of 60 in trade on Wednesday.

The rupee has hit the key psychological level of 60.00 against the US dollar today and closed the session at 60.71 levels. The USD/INR pair was seen making a high of 60.75 levels and a low of 59.72 levels.

The rupee has been consolidating in the range of 59.40-59.80 levels since the last couple of sessions as dollar is gaining strength against most of the Asian currencies.

The rupee has witnessed sharp depreciation in the past two-months. It has fallen 11% since May and over 5 per cent in June itself, spooking the equity markets.

Analysts attribute dollar strength, macro fundamentals, twin deficit concerns, debt outflows and fading arbitrage opportunity as key reasons for depreciation in the Indian currency.