Indian rupee drops to 88.77 against US dollar
The rupee dropped to 88.77 against the US dollar on Monday, hovering near record lows as global investors played it safe and the dollar stayed strong.
The Reserve Bank of India is keeping an eye on things since a weaker rupee can push up import costs and inflation—meaning stuff could get pricier for everyone.
Sensex down 451 points
It's not just about currency—stock markets took a hit too, with Sensex down 451 points to 82,049 and Nifty falling by 109 points to 25,175.
Even so, foreign investors still bought ₹459 crore in Indian stocks last Friday.
Meanwhile, India's foreign exchange reserves dipped by $276 million last week, hinting at some pressure from outside money flows.
Geopolitical tensions and oil prices add to worries
A stronger US dollar is the main culprit here, fueled by global uncertainty and risk aversion—even though the dollar index slipped slightly to 98.93.
Rising oil prices (Brent crude up 1.5% to $63.67/barrel) add more worries about inflation.
Geopolitical jitters and RBI's steady focus on inflation control are shaping how markets react right now.