The Indian rupee fell by 9 paise to a historic low of 90.41 against the US dollar on Friday, driven by uncertainty regarding the India-US trade deal and ongoing foreign fund outflows, which negatively impacted investor sentiment.
Forex traders noted that the rupee is facing pressure primarily due to substantial dollar purchases by importers amid rising global precious metal prices. The currency opened at 90.43 against the dollar and dipped further to an intraday low of 90.56, reflecting a decline of 24 paise from the previous close. It eventually settled at 90.41, marking a 9-paise drop from its last closing value.
On Thursday, the rupee had already decreased by 38 paise, finishing at 90.32 against the dollar. Market analysts expect that the currency will continue to trade with a negative bias, largely attributed to delays in finalizing the trade agreement with the US.
Recent discussions between Indian Prime Minister Narendra Modi and US President Donald Trump centered on advancing the bilateral economic partnership, with both countries expressing a desire to maintain momentum in trade negotiations.
Anuj Choudhary, Research Analyst at MiraeAsset ShareKhan, commented, “We expect the rupee to trade with a negative bias amid uncertainty over the Indo-US trade deal. However, improved global sentiments and declining crude oil prices might support the rupee. Additionally, a weaker dollar and potential interventions by the central bank could provide further support at lower levels.”
Meanwhile, the dollar index, which measures the dollar’s performance against a basket of six currencies, was trading 0.07 percent higher at 98.41. Brent crude oil, a global benchmark, traded 0.02 percent higher at $61.27 per barrel.
In the domestic equity market, the Sensex, a 30-share benchmark index, gained 449.53 points to end at 85,267.66, while the Nifty index rose by 148.40 points to close at 26,046.95. However, Foreign Institutional Investors sold equities worth Rs 2,020.94 crore according to exchange data.
Published on December 12, 2025.
