The Indian rupee declined by 7 paise to settle at 89.43 (provisional) against the US dollar on Friday, influenced by a robust dollar and rising crude oil prices in the international market. Forex traders noted that the Indian currency faced pressure from subdued equity market sentiment and the withdrawal of foreign funds, with investors awaiting domestic macroeconomic data releases later in the day.
In the interbank foreign exchange market, the rupee opened at 89.41 and reached an intra-day low of 89.49 against the dollar before settling at 89.43, marking a loss of 7 paise from the previous day’s close. The rupee had depreciated by 14 paise to settle at 89.36 against the dollar on Thursday.
Anuj Choudhary, Research Analyst at Mirae Asset ShareKhan, highlighted that the Indian rupee exhibited a negative bias amid a recovering US dollar index and mixed domestic market performance. Additionally, foreign institutional investor outflows and gains in crude oil prices placed further strain on the rupee.
Choudhary anticipated that the rupee could trade with a slight positive bias due to increasing odds of a Federal Reserve rate cut in December and easing geopolitical tensions. He projected that the USD-INR spot price would range between 89.25 and 89.70.
The finance ministry, in its monthly economic review for October, released on Thursday, indicated that the rupee’s 3.5 percent depreciation against the dollar from March to October 2025 aligned with trends seen in broader emerging-market currencies. The report noted, “The INR depreciated by 3.5 percent against the US dollar from the end of March to the end of October 2025, demonstrating a gradual weakening consistent with broader emerging-market currency trends.”
Meanwhile, the dollar index, which measures the greenback’s strength against a basket of six currencies, rose by 0.18 percent to 99.69. Analysts attributed the dollar’s strength to heightened demand from importers and banks for month-end trade payment settlements.
Brent crude, the global oil benchmark, increased by 0.27 percent to $63.51 per barrel in futures trading. In the domestic equity market, the Sensex dipped by 13.71 points to settle at 85,706.67, while the Nifty fell by 12.60 points to 26,202.95. Foreign institutional investors sold equities worth ₹1,255.20 crore on a net basis on Thursday, according to exchange data.
Published on November 28, 2025.
