Reserve Bank of India (RBI) intervened and sold dollars when the rupee touched a low of 91.05 in early trade preventing it from breaching its previous low of 91.08.
Mumbai: The Indian rupee on Tuesday extended losses for a fifth consecutive session as strong dollar demand continued to put pressure on the currency. However, the Reserve Bank of India (RBI) intervened and sold dollars when the rupee touched a low of 91.05 in early trade preventing it from breaching its previous low of 91.08.
At the interbank foreign exchange market, the domestic unit opened at 90.93 and fell to 91.05 in early trade as foreign portfolio investors (FPI) outflows continued to weigh on the sentiment. However the RBI intervention brought it up to 90.87. It finally closed at 90.97, down 7 paise from its previous close. The dollar index, measuring the greenback against six major currencies, was down 0.91 per cent at 98.48, while Brent crude futures traded at $ 63.94 per barrel. So far in 2026, FPIs have offloaded equities worth over Rs 29,315 crore making the rupee one of its worst performing currencies in Asia.
Concerns over India's recent 30 per cent tariff on US pulses have added to trade deal uncertainty, with neither side willing to ease tariffs. The ongoing geopolitical tensions are also supporting safe haven demand for gold and silver. Hostilities between Europe and the US grew over Greenland, and would continue to put pressure on the rupee said traders. The US President Donald Trump has announced fresh tariffs on a few European countries, in response to their move to send troops to Greenland. Trump has threatened a 10 per cent tariff from February, which will increase to 25 per cent until a deal for his government to take over Greenland is secured.
