Rupee plunges 16 paise to close at record low of 87.59 against USD

PTI mumbai

Rupee plunged 16 paise to close at an all-time low of 87.59 against the US dollar on Thursday, as rising odds of a rate cut by the Reserve Bank of India in its monetary policy meeting on Friday pressurised the rupee. Forex traders said the Indian rupee plunged to fresh record lows amid weak domestic markets and importer demand for dollars.

Moreover, risk aversion in global markets amid ongoing uncertainty over US trade tariffs may further weigh on the rupee. At the interbank foreign exchange, the rupee opened at 87.54 and slipped further to an all-time intraday low of 87.60 against the greenback in initial deals. The domestic unit finally settled for the day at 87.59 against the greenback, registering a plunge of 16 paise from its previous close.

On Wednesday, the rupee declined 36 paise to close at 87.43 against the US dollar. The local unit has lost over 2 per cent so far this year. The sharp drop in the domestic unit comes after nearly a 3 per cent fall in the USD/INR pair in 2024, making it one of the worst-performing Asian currencies. On January 1, 2024, the rupee was at 83.21 against the greenback. The rupee has lost 193 paise so far this year. The domestic unit was quoted at 85.64 against the greenback on January 1, 2025.