Mumbai, Mar 20 — The Indian rupee weakened further on Friday, slipping to an all-time intra-day low and crossing the 93 mark against the US dollar for the first time in early trading.
The currency opened lower at the interbank foreign exchange market and continued its downward trend, pressured by a strengthening US dollar and persistent foreign institutional investor (FII) outflows. The decline follows a sharp fall in the previous session, reflecting ongoing stress in the currency market.
Traders pointed to elevated global crude oil prices and geopolitical tensions in West Asia as key factors weighing on the rupee, given India’s heavy reliance on energy imports. However, gains in domestic equity indices helped limit deeper losses.
Market participants also noted that central bank interventions may be preventing a steeper slide, with the rupee otherwise appearing vulnerable amid sustained capital outflows. Recent selling by foreign investors has added to the pressure, coinciding with volatility in equity markets.
The dollar index, which tracks the greenback against major global currencies, remained firm, further dampening sentiment for emerging market currencies.
On the domestic front, benchmark indices rebounded after the previous session’s decline, offering some support to the local unit. Despite this, continued external pressures and global uncertainties suggest the rupee may remain under strain in the near term.