Rupee Slips to 90.06/USD: Early Weakness Signals Tense Trading Day Ahead!

Indian rupee commenced Monday's trade marginally down at 90.0625 against the US dollar, slipping 6.25 paise from Friday's 89.98 close—a 0.1% depreciation reflecting subdued sentiment. This breach past the psychological 90-mark follows RBI's recent liquidity boosts via ₹1 lakh crore OMO and rate cuts, yet persistent deficits from taxes and forex demand weigh heavy.​

Market participants attribute pressure to dollar strength ahead of US CPI data, Fed signals, and year-end flows. Rupee hit intraday low near 90.10 early, with importers active amid crude steady above $70. RBI's $686 billion reserves provide buffer, but sustained defense may cap upside amid 90.20 resistance.​

Forward premiums edged up slightly, signaling importer hedging. Equity cues muted with Nifty eyeing 24,000 support post-RBI optimism.​

Key Highlights

Open: 90.0625/USD (down 0.1% or 6.25p from 89.98 close)​

Intraday range: Testing 90.10 low; resistance at 90.20​

Triggers: US data watch, advance tax outflows, dollar rebound​

RBI context: Post-25bps cut; liquidity ops active amid deficits​

Forwards: Mild premium rise; crude $70+ adds import bill pressure​

Sources: MarketScreener (RTRS), Wise​