The Indian rupee continued its decline on Friday, dropping another 7 paise to settle at 89.43 (provisional) against the US dollar amidst concerns it would touch 90 against the greenback in the coming days.
The Indian currency was weighed down by a rise in crude oil prices in the international market, subdued equity market sentiment, and the withdrawal of foreign funds, even as investors stayed on the sidelines awaiting the release of domestic macroeconomic data in post-session hours, forex traders said.
At the interbank foreign exchange market, the rupee opened at 89.41 and touched the intra-day low of 89.49 against the greenback. It finally settled at 89.43 (provisional) against the US dollar, registering a loss of 7 paise from the previous close.
The domestic unit had depreciated 14 paise to settle at 89.36 against the US dollar on Thursday.
Analysts attributed the strength in the greenback to increased demand from importers and banks for month-end trade payment settlements.
Also Read: Rupee up 46 paise, closes at 89.20
Anuj Choudhary, Research Analyst at Mirae Asset ShareKhan, said a recovery in the US dollar index was primarily responsible for the Indian rupee to trade on a negative bias.
“Mixed-to-weak domestic markets, FII outflows and overnight gains in crude oil prices also pressured the rupee,” he said, adding, “We expect the rupee to trade with a slight positive bias on rising odds of a rate cut by the Fed in December and easing geopolitical tensions.”
However, the USD-INR spot price is expected to trade in a range of 89.25 to 89.70, he said.
The finance ministry, in a monthly economic review for October released on Thursday, said the rupee’s 3.5 per cent loss against the greenback from the end of March to the end of October this year was consistent with broader emerging-market currency trends.
“Looking at the longer trend, the INR depreciated by 3.5 per cent 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,” the report said.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was 0.18 per cent higher at 99.69.
Brent crude, the global oil benchmark, rose 0.27 per cent to USD 63.51 per barrel in futures trade.
On the domestic equity market front, the Sensex dipped marginally by 13.71 points to settle at 85,706.67, while Nifty slipped 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.
Follow us
