Mumbai: In a dramatic market jolt, the Indian rupee on Wednesday crashed to an all-time low, breaking through the ₹90-per-US-dollar barrier for the first time ever in early trade — sparking anxiety across financial markets and corporate sectors.
At around 10 am, the currency touched ₹90.11 per dollar, extending a persistent downward slide witnessed over recent weeks as foreign investors continue pulling capital from Indian equities and debt.
Forex strategists point to a muscular US dollar, surging global crude prices, and stepped-up dollar purchases by importers as the primary drivers of the rupee’s slump, as reported by Business Standard.
Trade Deadlock Adding Stress
Analysts say the prolonged freeze in India–US trade negotiations is weighing heavily on sentiment. Existing US tariffs on Indian exports have strained trade relations and dampened overseas portfolio inflows — further squeezing currency resilience.
A Paradox for the Economy
The rupee’s fall is particularly striking given that India recently logged 8.2% GDP growth in Q2 — the highest in six quarters. While the macroeconomic story looks robust, it clearly hasn’t translated into exchange-rate strength.
What Next
With the dollar on a global ascent and India’s import-heavy economy exposed to crude volatility, traders expect rupee turbulence ahead.
Market watchers are now closely eyeing RBI intervention — but for the moment, ₹90 has been breached, and confidence has been rattled.
