Rupee falls 12 paise to settle at record low of 92.40 against US dollar
Why it matters: A weaker rupee hikes import costs and squeezes corporate earnings.
- RBI hints at possible rate hikes or market intervention to curb the slide
- Foreign investors continue net sell‑offs, deepening the outflow pressure
- Crude oil prices surged, adding cost pressure on the rupee
- Equity markets posted gains but couldn’t offset the currency weakness
- Analysts warn further depreciation if geopolitical tensions linger
The rupee slid to a record 92.40 per dollar as soaring oil prices and sustained foreign fund outflows, driven by the West Asia crisis, outpaced a rally in domestic equities. The move highlights the currency’s exposure to external shocks and puts pressure on monetary policymakers.
