Mumbai, Feb. 3 -- Rupee tumbled to a record low on Monday as US President Donald Trump's tariffs on Canada, Mexico and China, and threats of higher levies on the European Union triggered fears of a broad trade war. Both Canada and Mexico have vowed to hit back with retaliatory tariffs.

Rupee fell to 87.28 per dollar before closing at 87.1850, down by nearly 0.7%, its biggest single-day percentage loss since 13 January.

The fall of the rupee was in line with other global currencies which fell against the greenback. The dollar index, which measures the dollar against a basket of six currencies, opened at 109.29 on Monday, up 0.9 against 108.37 on Friday.

Selloff in equities and foreign outflows also continued to exert downward pressure o...