Indian Rupee Falls to 94.56 Against US Dollar Amid Oil Price Surge and Capital Outflows
The Indian rupee weakened to 94.56 against the US dollar due to rising crude oil prices, foreign fund outflows, and growing economic uncertainty.
Prasanth Subramani
The Indian Rupee weakened further against the US Dollar, closing at 94.56, down by 41 paise, amid rising crude oil prices and increasing geopolitical uncertainty.
According to forex traders, persistent foreign fund outflows and concerns over a widening current account deficit have significantly pressured the rupee. The continuous withdrawal of overseas investments has further contributed to the currency’s decline.
So far this year, foreign institutional investors (FIIs) have pulled out more than $19 billion from Indian equity markets, reflecting cautious global sentiment toward emerging markets like India.
In the interbank foreign exchange market, the rupee opened at 94.35 per dollar but weakened during the session to touch an intraday low of 94.58 before settling at 94.56.
In comparison, the rupee had closed at 94.15 in the previous trading session, marking a marginal gain of one paise before this sharp decline.
Market experts note that rising crude oil prices—one of India’s key import costs—along with global uncertainty continue to weigh heavily on the currency, suggesting ongoing volatility in the near term.
