The rupee slipped to a fresh record low of 96.47 against the U.S. dollar in intraday trade on Tuesday (May 19, 2026), pressured by rise in crude oil prices, strong dollar and geopolitical uncertainties.

The rupee is Asia’s worst-performing currency in 2026, having tumbled to a historic intraday low of 96.47 against the U.S. dollar. The currency has depreciated 1.5 per cent this month and more than 7% this year.

Forex traders said the rupee remains vulnerable to the rise in crude oil prices, as also the closure of the Strait of Hormuz.

At the interbank foreign exchange market, the rupee opened at 96.38 against the U.S. dollar, then lost further ground and touched a record low of 96.47, registering a fall of 27 paise over its previous close.

On Monday (May 18, 2026), the Indian rupee settled at a record low of 96.20 against the US dollar.

“Foreign investors have pulled out nearly $2.6 billion from Indian equities, adding fuel to the currency’s decline. In fact, the broader picture is even heavier — net equity outflows in 2026 have already reached $23.2 billion, crossing last year’s total of $18.9 billion. When capital leaves in waves, currencies rarely stand still — and the rupee is bearing that full weight,” CR Forex Advisors MD Amit Pabari said.

Economists at HSBC estimate India could face a Balance of Payments (BoP) deficit of around $65 billion in FY27, marking a third consecutive year of external imbalance pressure.

“It’s not just a cycle — it’s becoming a pattern the market is now pricing in,” Mr. Pabari said.

Meanwhile, U.S. President Donald Trump said he has temporarily held back a planned strike on Iran after requests from Saudi Arabia, Qatar, the UAE and other Gulf allies.

While the pause has offered temporary relief to global markets and crude oil prices, markets remain cautious as both Washington and Tehran continue to reject key parts of each other’s proposals.

“Still, until diplomacy turns into reality and headlines stop changing every few hours, the rupee may continue trading with a nervous heartbeat,” Mr. Pabari said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 99.16, lower by 0.03% due to simmering Iran tensions.

Brent crude, the global oil benchmark, was trading down 1.43% at $110.50 per barrel in futures trade.

On the domestic equity market front, Sensex was trading 266.84 points higher at 75,581.88, while the Nifty advanced 78.45 points to 23,728.40.

Foreign Institutional Investors remained net buyers for the third straight session, purchasing equities worth Rs 2,813.69 crore on Monday, according to exchange data.

The rupee crashed 139 paise to 94.90 against the greenback in early trade on Monday (May 11, 2026) after President Donald Trump rejected Iran’s response to the U.S.’s peace proposal, following which crude oil prices surged rapidly.

A strengthening U.S. dollar and steep FPI outflows further pressured the local unit, according to forex traders.

At the interbank foreign exchange, the rupee opened at 94.97 against the U.S. dollar before inching up to 94.90, down a staggering 139 paise from its previous close.

On Friday (May 8, 2026), the rupee pared its losses and ended with a sharp gain of 71 paise at 93.51 against the greenback.

Iran has sent its response to the latest U.S. ceasefire proposal via Pakistani mediators and wants negotiations to focus on permanently ending the war, Iran’s state-run media said on Sunday (May 10, 2026).

Mr. Trump rejected Iran’s proposal to end the months-long war as “totally unacceptable” without sharing details even as a key Republican leader urged him to consider the “military option”.

“After U.S. President Donald Trump rejected Iran’s response to the U.S. Peace proposal, Brent oil rose higher, dollar index also higher and risky assets lower. Israeli attacks on Lebanon continued while Hezbollah said it struck Israeli army camps with drones while the UAE also intercepted drones from Iran,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said.

“Thus the war continues keeping oil prices higher and accordingly rupee opened lower than Friday’s close. On Friday, the Reserve Bank of India (RBI) was present near to 94.70 levels taking the closing of rupee higher to 94.48,” he said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.20, up 0.20 per cent.

Brent crude, the global oil benchmark, rose sharply by 4.17% to $105.5 per barrel in futures trade.

On the domestic equity market front, Sensex plummeted 810.35 points, or 1.05%, to 76,517.84, while the Nifty tanked 225.40 points, or 0.93%, to 23,950.75.

Foreign Institutional Investors offloaded equities worth ₹4,110.60 crore on Friday (May 8, 2026), according to exchange data.

India’s forex reserves dropped by $7.794 billion to $690.693 billion during the week ended May 1, the RBI said on Friday (May 8, 2026). In the previous reporting week ended April 24, the overall reserves declined by $4.82 billion to $698.487 billion.

The rupee extended its losing streak for the fourth straight session, sliding past the 94 level for the second time in a month and trading 34 paise lower at 94.12 against the U.S. dollar in early trade on Thursday (April 23, 2026), as crude oil prices surged amid a lack of progress in West Asia peace talks.

The currency also remained under pressure due to massive selling of domestic equities and the withdrawal of foreign investors amid rising worldwide demand for the American currency, forex traders said.

At the interbank foreign exchange market, the rupee opened at 94.04 and lost further ground to trade at 94.12 against the greenback in early deals, registering a loss of 34 paise from the previous closing level.

The rupee declined 34 paise to close at 93.78 against the US dollar on Wednesday, the third straight day of fall. In the preceding two sessions, the currency has fallen by 53 paise.

Facing geopolitical headwinds triggered by the war in West Asia, the domestic currency breached the crucial 94-a-dollar level for the first time on March 23 and recorded its lowest-ever intra-day level of 95.22 on March 30. The currency recovered since then, following a slew of measures from the Reserve Bank of India.

It ended the previous week at 92.91 against the greenback on April 17 before giving in to the pressure again due to renewed tensions in West Asia and uncertainties over the opening of the Strait of Hormuz, the key route for global fuel supply.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was 0.12 per cent higher at 98.53.

Brent crude, the global oil benchmark, was trading 1.37% higher at $103.31 per barrel in futures trade.

In the domestic equity markets the 30-share Sensex was trading 632.36 points or 0.81% down at 77,884.13 in early trade, while the Nifty declined 179.10 points or 0.73% to 24,198.90.

Foreign Institutional Investors offloaded equities worth about ₹2,078.36 crore on Wednesday (April 22, 2026), according to the exchange data.

In a latest development, President Donald Trump has said that the U.S. has extended the ceasefire with Iran indefinitely, as a new round of peace talks was on hold.

According to Iranian state media, Tehran acknowledged the ceasefire extension but didn’t say it was ready to attend a new round of talks to end the war.

The local currency, however, remained under pressure tracking a firm greenback and negative cues from domestic equity markets, forex traders said.

At the interbank foreign exchange market, the rupee opened at 88.67 and gained some ground to trade at 88.63 against the U.S. dollar in initial deals, up 5 paise from its previous closing level.

On Thursday (November 20, 2025), the rupee depreciated 20 paise to close at 88.68 against the U.S. dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was 0.01% up at 100.09.

Brent crude, the global oil benchmark, was trading 1.29% lower at $62.56 per barrel in futures trade.

On the domestic equity market front, the Sensex declined 172.32 points to 85,460.36 in early trade, while the Nifty was down 59.35 points to 26,132.80.

Foreign institutional investors bought equities worth ₹283.65 crore on a net basis on Thursday (November 20, 2025), according to exchange data.

The government data released on Thursday (November 20, 2025) showed the pace of growth in the country’s eight key infrastructure sectors stayed flat year-on-year in October as expansion in output of petroleum refinery products, fertilizer and steel was offset by a contraction in coal and electricity production.

The eight core industries of coal, crude oil, natural gas, petroleum refinery products, electricity, fertilizer, and steel had expanded by 3.3% in September and by 3.8% in October 2024.

The rupee traded in a narrow range and fell 5 paise to 88.77 against the U.S. dollar in early trade on Monday (October 13, 2025), tracking the broad strength of the American currency amid a risk-off tone globally.

Forex traders said the rupee is hovering near its all-time closing low level as the RBI is monitoring the depreciation of the USD-INR pair towards 88.80.

At the interbank foreign exchange market, the rupee opened at 88.75, the fell to 88.77 against the greenback, registering a fall of 5 paise from its previous close.

On Friday, the rupee had settled at 88.72 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.04% to 98.93.

Brent crude, the global oil benchmark, rose 1.50% to $63.67 per barrel in futures trading.

“The market sentiment for the pair is influenced by the U.S. dollar’s strength amid a modest risk-off tone globally and domestic factors, including RBI’s stable policy stance and controlled inflation outlook,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP.

The dollar index was slightly down following a softer US-China trade war, Bhansali said, adding that the global market volatility and geopolitical developments remain the key drivers in the near term.

On the domestic equity market front, Sensex dropped 451.82 points to 82,049 in early trade, while the Nifty declined 109.55 points to 25,175.80.

Meanwhile, Foreign Institutional Investors bought equities worth Rs 459.20 crore on Friday, according to exchange data.

India’s forex reserves fell by $276 million to $699.96 billion during the week ended October 3, according to RBI data.

In the previous reporting week, India’s forex reserves had dropped by $2.334 billion to $700.236 billion.

Rupee rises 3 paise to 88.69 against the U.S. dollar in early trade on Monday (September 29, 2025), tracking positive Asian currencies and weakness of the American currency in the overseas market.

Forex traders said the rupee is trading in a tight range as it remains under pressure influenced by continued capital outflows and geo-political developments.

Moreover, the RBI policy meeting outcome on October 1, is expected to influence the rupee and government bond movements.

At the interbank foreign exchange market the rupee opened at 88.69 against the U.S. dollar, registering a gain of 3 paise from its previous close. On Friday (September 26, 2025), the rupee rebounded from its all-time low to close 4 paise higher at 88.72 against the U.S. dollar.

The rupee fell to a fresh lifetime low of 88.76 against the American currency on Thursday (September 25, 2025).

“The RBI may intervene to keep rupee within the 88.80 level as market watchers closely monitor the impact of U.S. tariffs and external capital flows on the currency,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 97.94, lower by 0.21%. Brent crude, the global oil benchmark, was trading 0.58 per cent lower at $69.72 per barrel in futures trade.

Forex traders said persistent foreign fund outflows and risk-off sentiment prevented a sharp rise in the domestic unit, while hopes of a breakthrough on the US tariff front weighed on investor sentiments.

On the domestic equity market front, equity markets rebounded in early trade with Sensex climbing 255.46 points to 80,681.92 and Nifty rising 89.05 points to 24,743.75.

Foreign Institutional Investors offloaded equities worth ₹5,687.58 crore on Friday (September 26, 2025), according to exchange data.

Meanwhile, the U.S. has announced the imposition of a 100 per cent tariff on branded or patented drugs entering the U.S. from October 1, except for pharmaceutical companies building manufacturing plants in the U.S.

The exemption covers projects where construction has started, including sites that have broken ground or are under construction.

India’s forex reserves dropped by $396 million to $702.57 billion for the week ended September 19, according to the RBI data.

In the previous reporting week, the overall reserves had jumped by $4.698 billion to $702.966 billion.

The rupee rebounded from its all-time low, rising 6 paise to 88.70 against the U.S. dollar in early trade on Friday (September 26, 2025) amid a weaker greenback and hopes of an India-US trade deal breakthrough.

However, FII outflows, coupled with a rise in international crude oil prices limited gains for the local unit, according to forex traders.

At the interbank foreign exchange, the rupee opened at 88.72 before rising to 88.70, higher by 6 paise from its previous close.

The rupee had slipped 1 paisa to close at a fresh lifetime low of 88.76 against the American currency on Thursday (September 25, 2025).

“Markets await for RBI action on October 1 when the MPC announces its rate decision amidst a falling rupee and trade tariffs uncertainties. The overall outlook looks cautious, with market sentiment closely tied to foreign fund flows, global risk environment, and resolution of policy uncertainties between India and US,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, said.

The Indian team has returned from the US after holding trade talks with their American counterparts in New York.

Commerce and Industry Minister Piyush Goyal, who led the team, will be back on Friday. The team arrived in New York on Monday to hold talks over the proposed trade agreement between the two countries.

The talks are taking place at various levels, encompassing both trade and non-trade issues.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.17 per cent lower at 98.38.

The rupee depreciated 25 paise to an all-time intraday low of 88.53 against the U.S. dollar in early trade on Tuesday (September 23, 2025), as headwinds like enhanced U.S. tariffs on Indian goods, as well as the U.S. H-1B Visa fee hike, dented investor sentiments.

Forex traders said that global risk aversion and trade policy uncertainty have also exacerbated the rupee’s depreciation.

At the interbank foreign exchange, the rupee opened at 88.41, then lost further ground and touched an intraday low of 88.53 against the US dollar, registering a decline of 25 paise over its previous close.

On Monday (September 22, 2025), the rupee depreciated by 12 paise to close at 88.28 against the U.S. dollar.

Forex traders said the rupee is dwindling towards record low levels as market participants are analysing the likely repercussions of the U.S.’s new $100,000 H-1B visa levy, which could precipitate a slowdown in remittance growth and curtail service exports to the U.S.

Moreover, risk aversion in domestic markets may also pressure the rupee, they said.

“The RBI has been the only dollar provider with some small inflows on account of IPOs of ₹7,500 crore being launched this week, but getting absorbed by the large buying of dollars.

“The RBI, however, has limited direct currency intervention, thus allowing greater volatility and possible further declines in the rupee, which has made new lows against most currencies,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.03%lower at 97.30.

Brent crude, the global oil benchmark, was trading 0.62 per cent lower at USD 66.16 per barrel in futures trade.

The Reserve Bank of India (RBI) is likely to intervene through state-run banks after the rupee hit an all-time low following the U.S. visa fee hike, traders said.

On the interbank order matching system, the currency briefly slipped past 88.50, prompting the central bank to step in, traders said.

The rupee witnessed range-bound trading in morning deals on Friday (September 19, 2025) and depreciated 7 paise to 88.27 against the US dollar, dragged lower by broad dollar strength and a negative trend in domestic equities.

Forex traders said the recovery in the U.S. dollar capped the upside for the domestic unit. Moreover, worries over US tariffs on India dented investor sentiments further.

At the interbank foreign exchange market, the rupee opened at 88.22, then lost ground and touched a low of 88.27 against the US dollar, registering a decline of 7 paise over its previous close.

On Thursday (September 18, 2025), the rupee depreciated 35 paise to close at 88.20 against the U.S. dollar.

“The rupee may have stumbled after its recent run, but the story is far from over. Supportive trade developments and firm domestic confidence suggest there is still room for appreciation,” CR Forex Advisors MD Amit Pabari said.

Key support is placed at 87.70 — a sustained break below this level could open the way toward 87.50 and, if momentum builds, even 87.20. On the flip side, resistance is likely to cap gains around 88.40, Pabari added.

Forex traders said weekly jobless claims in the US dropped sharply by 33,000, far better than market estimates. The surprise turnaround lifted the dollar index back toward 97 level after nearly dipping below 96 a day earlier.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.01 per cent to 97.34.

Meanwhile, trade talks between India and the U.S. are progressing and are moving in the right direction, Commerce and Industry Minister Piyush Goyal said on Thursday.

He said Assistant U.S. Trade Representative for South and Central Asia Brendan Lynch was in New Delhi on September 16 for daylong talks with Indian official team.