Dollar Strength Pushes Rupee to Record Low Amid Global Uncertainty

New Delhi: The Indian rupee declined sharply against the US dollar on Friday, reaching a historic low beyond ₹96 per dollar due to rising global crude oil prices, geopolitical tensions, and persistent foreign investor outflows. Financial markets remained volatile as investors closely observed developments in West Asia and global currency movements.

Market data showed the rupee slipping to nearly ₹96.14 during intraday trade, marking one of its weakest performances recently. Analysts attributed the fall to surging oil prices and increased demand for the dollar. India, as a major crude oil importer, faces inflationary pressure and higher import costs. Foreign institutional investors have also pulled funds from emerging markets, including India, while rising US bond yields and expectations of tighter US monetary policy have strengthened the dollar. RBI officials are monitoring the market to prevent excessive volatility, with the rupee’s future movements dependent on oil prices, geopolitical events, and global investor sentiment.