Rupee slumps to record low of 96.9 against US dollar

The Indian rupee slumped to a record low of 96.9 against the United States dollar on Wednesday amid elevated global oil prices and economic headwinds caused by the conflict in West Asia.

The value of the rupee had improved marginally to 96.8 against the dollar by the time the trade session ended. However, it had fallen 30 paise from the previous all-time low of 96.5 recorded on Tuesday.

Wednesday marked the eighth consecutive trade session in ⁠which the rupee lost its value. The Indian rupee has been the worst-performing Asian currency in 2026, with a 6% loss in its value ⁠since the conflict began on February ​28.

The rupee’s value has also fallen because of capital outflows. Foreign institutional investors have withdrawn more than Rs 2 lakh crore from the Indian market in 2026.

This came against the backdrop of the benchmark Brent crude hovering at $109 a barrel on Tuesday. The price was marginally lower than $110 per barrel on Tuesday, but still up more than 50% since the conflict began on February 28. Brent was priced at $78 per barrel on February 27.

India imports 88% of its crude oil needs and about half of its natural gas requirement. This mostly comes through the Strait of Hormuz, which has been effectively blocked due...

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