Business
Rupee Hits All-Time Low Of 88.36 Against US Dollar; Likely RBI Intervention Caps Losses
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The rupee fell to 88.36 against the U.S. dollar, eclipsing its previous all-time low of 88.33 hit on September 1
Rupee depreciates against dollar.
The Indian rupee slipped to a record low on Friday as traders remained jittery over news related to U.S. tariffs on India, while likely dollar-selling intervention by the Reserve Bank of India curbed sharper losses, traders said.
The rupee fell to 88.36 against the U.S. dollar, eclipsing its previous all-time low of 88.33 hit on September 1. The currency was last at 88.2750, down 0.1% on the day.
Traders cited strong buying from foreign banks amid speculation about ongoing tariff pressures on India from the U.S.
The “spike on USD/INR was caused by worries of higher tariffs on India but state-run banks stepped in over 88.30 to cap losses, most likely on behalf of the Reserve Bank of India,” a senior trader at a bank said.
Merchant flows are relatively muted today so activity is skewed towards the dollar buying side, the trader added.
MUFG said the rupee could weaken to 89 by the first quarter of calendar year 2026 under the assumption that the steep tariffs remain for now but are eventually lowered to 25% sometime next year.
Foreign portfolio investors have continued to withdraw from Indian equities with net sales of $1.4 billion so far in September, taking the total outflow so far this year to over $16 billion.
(This story has not been edited by News18 staff and is published from a syndicated news agency feed – Reuters)
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
September 05, 2025, 13:28 IST
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