Rupee breaches 90 mark for first time, falls for sixth straight session

The Indian rupee breached the 90 mark against the US dollar for the first time in early deals on Wednesday, slipping 28 paise to a fresh record low of 90.14 from the previous close of 89.86. On Tuesday, rupee fell to a low of Rs 89.92 against the US dollar. This is the sixth straight session of fall for the Indian currency amid high demand for dollar and a delay in the India-US trade deal.

On the current weakness in rupee, VK Vijayakumar, Chief Investment Strategist, Geojit Investments said, "The rupee depreciation will halt and even reverse when the India-US trade deal materialises. This is likely this month. A lot, however, will depend on the details of the tariffs to be imposed on India as part of the deal."

The Indian currency has been affected as expectations of a US Federal Reserve rate cut post better than expected jobs reports have fallen. A surge in dollar demand from importers and limited supply from exporters have brought the Indian currency under pressure.

Since late August, when the United States imposed steep tariffs on Indian exports, foreign investors have withdrawn $16.5 billion from Indian equities, positioning the rupee as the weakest Asian currencies in 2025. The Indian rupee has fallen 5.17% against the US dollar in 2025.

Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities said," Rupee was pressured by the absence of a confirmed India–US trade deal and repeated delays in timelines. Markets now want concrete numbers rather than broad assurances, leading to accelerated selling in the rupee over the past few weeks. Muted RBI intervention has also contributed to the swift depreciation. With the RBI policy announcement on Friday, markets expect clarity on whether the central bank will step in to stabilise the currency. Technically, the rupee is deeply oversold, and a move back above 89.80 is essential for any meaningful recovery."