On Tuesday, the rupee slipped to a record low of 96.60 against the US dollar, and then closed at 96.52 (provisional). This was due to the strengthening of the dollar due to rising crude oil prices, continuous outflow of foreign capital, and global risk aversion. The rupee has become Asia’s worst performing currency in 2026, falling to a historic intraday low of 96.60 against the US dollar. The currency has fallen by 1.5 percent this month and by more than 7 percent this year. Forex traders said the rupee remains sensitive to rising crude oil prices and closure of the Strait of Hormuz. Let us also tell you what kind of figures are being seen in the currency market.
Rupee at record low level
At the interbank foreign currency market, the rupee opened at 96.38 against the US dollar, then fell further and touched a record low of 96.60, and finally closed at 96.52 (provisional), showing a decline of 32 paise over its previous close. On Monday, the Indian rupee had closed at a record low of 96.20 against the US dollar. Anuj Chaudhary, Research Analyst, Commodities Research, Mirae Asset Sharekhan, said that we expect the rupee to trade with a negative trend amid a strong dollar and rising US treasury yields. Ongoing geopolitical tensions and outflow of FIIs may also put pressure on the rupee. However, any intervention by RBI and some restrictions on gold and silver imports may support the rupee at lower levels. USD-INR spot price is expected to trade in the range of 96 to 96.60.
dollar and crude oil
- Meanwhile, the dollar index, which measures the dollar’s strength against a basket of six currencies, was trading at 99.24, 0.05 percent higher due to rising tensions in Iran.
- In the international market, Brent crude, the global oil benchmark, was trading 1.92 percent lower at USD 109.95 per barrel in futures trade.
- On the domestic equity market front, Sensex fell 114.19 points to close at 75,200.85, while Nifty fell 31.95 points to 23,618.
- Foreign institutional investors remained net buyers for the third consecutive session, buying equities worth Rs 2,813.69 crore on Monday, according to exchange data.
Trump stopped attack on Iran
Additionally, traders said emerging market economies, including India, are feeling the pressure of rising crude prices, as increased rates accelerate US dollar outflows, as well as fund outflows by foreign portfolio investors. Meanwhile, US President Donald Trump said he had halted new attacks on Iran at the request of Qatar, Saudi Arabia and the UAE, and insisted serious talks were underway with Tehran that could lead to an acceptable deal. Trump said that Saudi Arabia, Qatar, UAE and some others had asked him if the US could postpone it for 2 or 3 days, which is a short period, because they felt that they were getting very close to making a deal.
