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Rupee Falls 25 Paise To Close At A Record Low Of 90.74 Against US Dollar On Monday
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On Monday, the rupee dropped to its lowest ever level of 90.80 before ending at a new all-time low of 90.74 (provisional) against the US dollar.
Rupee depreciates against the US dollar.
The rupee on Monday slipped to its lowest-ever level of 90.80 before settling at a fresh all-time low of 90.74 (provisional) against the US dollar, pressured by uncertainty over an India-US trade deal and continued foreign fund outflows.
The domestic currency lost 25 paise from its previous close. Forex traders said a risk-averse market mood and strong dollar demand from importers further weighed on investor sentiment.
At the interbank foreign exchange, the rupee opened at 90.53 against the US dollar and later touched a record intra-day low of 90.80, down 31 paise from its previous close. It finally closed at 90.74 (provisional), marking a fresh lifetime low.
On Friday, the rupee had already weakened by 17 paise to close at a then record low of 90.49 against the greenback.
Commenting on the move, Dilip Parmar, Research Analyst at HDFC Securities, said the Indian rupee was the worst-performing currency among its Asian peers.
“The Indian rupee plunged to a record low, making it the worst performer among Asian currencies. Even though the trade balance was better than expected, the rupee could not find support,” Parmar said.
He added that the weakness was largely driven by demand-supply imbalance.
“This weakness is mainly due to a big gap between demand and supply, with high dollar demand from importers and ongoing capital outflows being the main worries for the currency,” Parmar noted.
From a technical perspective, Parmar said the outlook remains tilted in favour of the dollar.
“In the short term, the technical outlook for the USD-INR pair is still positive, with key resistance at 90.95 and support at 90.50,” he said.
Meanwhile, Commerce Secretary Rajesh Agrawal said India and the US are “very close” to finalising a framework trade deal.
“We are very close to the framework deal, which we think can be done soon. But I don’t want to give a timeline,” Agrawal told reporters.
India and the US are currently holding parallel discussions—one focused on a framework trade deal to address high tariffs and another on a full bilateral trade agreement. Indian industry and exporters are keenly awaiting clarity, as elevated import duties continue to hurt exports to the US.
The two sides concluded two days of talks last Thursday, during which trade issues and the proposed bilateral agreement were discussed. Prime Minister Narendra Modi and US President Donald Trump also spoke on Thursday on maintaining momentum in the economic partnership, amid indications that the long-pending trade deal could be nearing completion.
In global markets, the dollar index, which tracks the greenback against six major currencies, fell 0.08 percent to 98.32. Brent crude, the global oil benchmark, rose 0.21 percent to USD 61.25 per barrel in futures trade.
In the domestic equity market, the Sensex slipped 54.30 points to close at 85,213.36, while the Nifty declined 19.65 points to 26,027.30.
Foreign Institutional Investors (FIIs) sold shares worth Rs 1,114.22 crore on Friday, according to exchange data.
Meanwhile, India’s foreign exchange reserves increased by USD 1.033 billion to USD 687.26 billion for the week ended December 5, the Reserve Bank of India said on Friday. In the previous week, forex reserves had declined by USD 1.877 billion to USD 686.227 billion.
(This story has not been edited by News18 staff and is published from a syndicated news agency feed – PTI)
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New Income Tax Act 2025 to come into effect from April 1, key reliefs announced in Budget 2026
New Delhi: Finance Minister Nirmala Sitharaman on Sunday said that the Income Tax Act 2025 will come into effect from April 1, 2026, and the I-T forms have been redesigned such that ordinary citizens can comply without difficulty for ease of living.
The new measures include exemption on insurance interest awards, nil deduction certificates for small taxpayers, and extension of the ITR filing deadline for non-audit cases to August 31.
Individuals with ITR 1 and ITR 2 will continue to file I-T returns till July 31.
“In July 2024, I announced a comprehensive review of the Income Tax Act 1961. This was completed in record time, and the Income Tax Act 2025 will come into effect from April 1, 2026. The forms have been redesigned such that ordinary citizens can comply without difficulty, for) ease of living,” she said while presenting the Budget 2026-27
In a move that directly eases cash-flow pressure on individuals making overseas payments, the Union Budget announced lower tax collection at source across key categories.
“I propose to reduce the TCS rate on the sale of overseas tour programme packages from the current 5 per cent and 20 per cent to 2 per cent without any stipulation of amount. I propose to reduce the TCS rate for pursuing education and for medical purposes from 5 per cent to 2 per cent,” said Sitharaman.
She clarified withholding on services, adding that “supply of manpower services is proposed to be specifically brought within the ambit of payment contractors for the purpose of TDS to avoid ambiguity”.
“Thus, TDS on these services will be at the rate of either 1 per cent or 2 per cent only,” she mentioned during her Budget speech.
The Budget also proposes a tax holiday for foreign cloud companies using data centres in India till 2047.
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Budget 2026 Live Updates: TCS On Overseas Tour Packages Slashed To 2%; TDS On Education LRS Eased
Union Budget 2026 Live Updates: Union Budget 2026 Live Updates: Finance Minister Nirmala Sitharaman is presenting the Union Budget 2026-27 in Parliament, her record ninth budget speech. During her Budget Speech, the FM will detail budgetary allocations and revenue projections for the upcoming financial year 2026-27. Sitharaman is notably dressed in a Kanjeevaram Silk saree, a nod to the traditional weaving sector in poll-bound Tamil Nadu.
The budget comes at a time when there is geopolitical turmoil, economic volatility and trade war. Different sectors are looking to get some support with new measures and relaxations ahead of the budget, especially export-oriented industries, which have borne the brunt of the higher US tariffs being imposed last year by the Trump administration.
On January 29, 2026, Sitharaman tabled the Economic Survey 2025-26, a comprehensive snapshot of the country’s macro-economic situation, in Parliament, setting the stage for the budget and showing the government’s roadmap. The survey projected that India’s economy is expected to grow 6.8%-7.2% in FY27, underscoring resilience even as global economic uncertainty persists.
Budget 2026 Expectations
Expectations across key sectors are taking shape as stakeholders look to the Budget for support that sustains growth, strengthens jobs and eases financial pressures:
Taxpayers & Households: Many taxpayers want practical improvements to the income tax structure that preserve simplicity while supporting long-term financial planning — including broader deductions for home loan interest and diversified retirement savings options.
New Tax Regime vs Old Tax Regime | New Income Tax Rules | Income Tax 2026
Businesses & Industry: With industrial output and investment showing resilience, firms are looking for policies that bolster capital formation, ease compliance, and expand infrastructure spending — especially in manufacturing and technology-driven sectors that promise jobs and exports.
Startups & Innovation: The startup ecosystem expects incentives around employee stock options and capital access, along with regulatory tweaks that encourage risk capital and talent retention without increasing compliance burdens.
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The Budget speech will be broadcast live here and on all other news channels. You can also catch all the updates about Budget 2026 on News18.com. News18 will provide detailed live blog updates on the Budget speech, and political, industry, and market reactions.
We are providing a full, detailed coverage of the union budget 2026 here, with a lot of insights, experts’ views and analyses. Stay tuned with us to get latest updates.
Also Read: Budget 2026 Live Streaming
Here are the Live Updates of Union Budget 2026:
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