Rupee Hits Record Low: Weakens Past 90.42 Against US Dollar

The fall comes ahead of the RBI’s monetary policy review, with traders noting strong dollar demand from importers and corporates. Analysts highlight that the rupee has already lost over 5% in 2025, pressured by trade uncertainties and global risk aversion. While RBI-linked banks intervened to prevent a sharper slide beyond 90.50, economists warn that without progress on the Indo-US trade deal, the rupee could weaken further toward 91. The depreciation raises concerns over import costs and inflation, though experts suggest the current account deficit impact may remain contained.  

Notable updates  
• Rupee weakens to 90.42 per US dollar, a fresh record low  
• Currency down over 5% year-to-date, among Asia’s worst performers  
• US tariffs up to 50% on Indian goods weigh on exports and equities  
• RBI-linked banks intervene to cap losses beyond 90.50  
• Economists caution rupee may slide further without Indo-US trade deal  

Major takeaway  
The rupee’s record low underscores India’s vulnerability to global trade tensions and capital outflows, with RBI intervention offering only temporary relief.  

Sources: The Print, Hindustan Times, Deccan Chronicle, Moneycontrol, Economic Times