New Delhi: The rupee depreciated 9 paise and touched a record low of 83.21 to a dollar on Thursday, owing to other weakened Asian currencies and an increase in the US Treasury yields, Mint reported. The local unit, which hit a record low of 83.29 in October last year, had closed on 83.13 on Wednesday.The US dollar index, which gauges the greenback’s strength against a basket of six currencies, rose by 0.09% to 104.95, while the 10-year US treasury yield was at 4.27%.The dollar has been appreciating as yields on US bonds have risen on the expectation that the Federal Reserve could hike rates again. Higher bond yields make US dollar assets more attractive to international funds vis-a-vis emerging markets, Times of India reported.The rupee opened around Wednesday’s close of 82.14 and traded weak despite dollar sales by the RBI while the onshore Yuan sank to 7.33 per dollar, its weakest since December 2007. “It is a delicate balance that RBI must strike between managing the all-time high on dollar-rupee and managing the floor on Chinese yuan/rupee pairs. One of them may eventually have to give way. Exporters are advised to tread cautiously until the Yuan and crude relent. Importers are advised to consider increasing their hedge ratios,” said IFA Global in its forex report. “We expect rupee to trade with a negative bias on strong dollar and elevated crude oil prices. Disappointing European data may further support the dollar. Rising US treasury yields and concerns over global economic growth may also weigh on rupee,” Anuj Choudhary, a research analyst at Sharekhan by BNP Paribas, told Mint. Meanwhile, the Indian stock market indices ended over half a percent higher each on Thursday, extending the rally for the fifth consecutive session, the report said. The Sensex closed 385.04 points, or 0.58%, higher at 66,265.56, while the Nifty settled with a gain of 116 points, or 0.59%, at 19,727.05.