Rupee falls to all time low of 90.13 amid growing uncertainty over India-US trade deal

The rupee dropped to a record low of 90.13 against the US dollar, breaking its earlier all-time low of 89.9475 recorded just a day before.

Weak trade and portfolio flows, coupled with uncertainty surrounding the India-US trade deal, kept sustained pressure on the currency throughout the session.

Market mood turns cautious as indices drift

The sharp fall in the rupee weighed on domestic equities, with the Nifty sliding below the 26,000 mark as investors turned cautious. The Sensex fell nearly 200 points in early trade, reflecting concerns over inflation and foreign investor activity linked to the weakening currency.

Analysts noted that traders were watching for signs of stability in the rupee and clarity on trade negotiations between India and the United States. They said the rupee’s depreciation could halt and even reverse once the trade deal materialises, likely this month, though much would depend on tariff details.

The stock market opened quietly, with both benchmark indices showing minimal movement. The Sensex edged up by 12 points to 85,151, while the Nifty slipped 18 points to 26,014.

At the opening bell, shares of HUL, Titan, Tata Motors PV, NTPC, BEL, Trent, Bajaj Finserv, Kotak Bank, Ultratech Cement, Maruti Suzuki, L&T, Power Grid and ITC were among the top losers.

Analysts added that a key concern behind the market’s slow drift was the continuing depreciation of the rupee and fears of further decline, particularly as the RBI has not intervened to support the currency.