Rupee Nosedives to All-Time Low Amid Global Tensions

The rupee fell 35 paise, reaching a record low of 92.36 against the US dollar due to surging crude oil prices and weak equity market sentiments. The decline was exacerbated by heavy foreign institutional investor outflows, global market volatility, and heightened geopolitical tensions in West Asia.

The rupee took a significant dip, tumbling 35 paise to hit an all-time intra-day low of 92.36 against the US dollar on Thursday. This decline is attributed to the rising global crude oil prices, which have surged amid ongoing conflicts in West Asia, showing no signs of subsiding.

Adding to the rupee's woes is the robust US dollar, which has weakened local market sentiments and increased foreign institutional investor sell-offs. Early morning trading saw the rupee already on unstable ground, partly because of heavy outflows from foreign institutional investors.

On the exchange front, the dollar index rose 0.18%, while Brent crude, a global oil benchmark, increased by 6.72% to trade at USD 98.16 per barrel. Simultaneously, domestic equity markets struggled, with the Sensex dropping by 445.26 points and Nifty down by 121.70 points.