Rupee slips to record low of 92.00 against U.S. dollar

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Last Updated: 29th January 2026 - 05:45 pm

Summary:

The Indian rupee slipped to a record low of 92.00 against the U.S. dollar in early trade on January 29, tracking weakness across Asian currencies and a recovery in the U.S. dollar. Persistent foreign fund outflows, higher U.S. Treasury yields, and firm crude oil prices continued to weigh on the domestic currency amid cautious market sentiment.

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The Indian rupee touched a fresh all-time low of 92.00 against the U.S. dollar in early trade on Thursday, January 29. The domestic currency opened at 91.99 per dollar, compared with its previous close of 91.78.
The decline came amid broad weakness across Asian currencies as the U.S. dollar recovered following the Federal Reserve’s latest policy decision.

Dollar index and U.S. yields

The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, recovered from recent multi-year lows after the Federal Reserve kept interest rates unchanged. At the time of reporting, the index was trading 0.29% lower at 96.16.

U.S. Treasury yields also moved higher after the Federal Reserve acknowledged that inflation remained elevated and labour market conditions continued to stabilise.

Factors weighing on the rupee

The rupee remained under pressure due to sustained foreign capital outflows, heightened geopolitical uncertainty, and increased risk aversion in global markets. These factors continued to weigh on emerging market currencies, pushing the rupee to a record low.

Higher crude oil prices also added pressure on the domestic currency. Brent crude rose 1.32% to $69.30 a barrel, while U.S. West Texas Intermediate crude futures gained 1.38% to $64.08 a barrel.

Domestic market cues

Indian equity markets traded lower amid weak global cues and persistent selling by foreign institutional investors. The Sensex was down 413.40 points, or 0.50%, at 81,931.28, while the Nifty 50 declined 122.35 points, or 0.48%, to 25,220.40.

On the domestic policy front, Union Finance Minister Nirmala Sitharaman is scheduled to table the Economic Survey 2025–26 in Parliament later in the day, ahead of the Union Budget on February 1.

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