The Indian rupee weakened further on Tuesday, slipping past the psychologically crucial 91‑per‑dollar mark as persistent foreign investor selling and renewed
global trade tensions continued to erode market sentiment. The domestic currency slipped to 91.03 per dollar on Tuesday. The currency opened slightly lower at 90.93 per US dollar, compared with Monday’s close of 90.90, before extending losses to hit an intraday low of 91.03. The latest slide brings the rupee precariously close to its record lows seen in December 2025, underscoring the mounting pressure from a volatile global environment and sustained FII outflows. The rupee has been in a free fall for four sessions till Monday, losing over 1 per cent in that period. The rupee opened at 90.91 and came under pressure to trade at 90.98 against the greenback, down 8 paise from its previous close before declining further. On December 16, 2025, the rupee reached its lowest intra-day level of 91.14 and its lowest closing level of 90.93 against the American currency, as per PTI. "The dollar was well bid yesterday after FPIs were again on a sell mode selling Rs. 3,700 crores of stocks and possibly in debt too with yields firming up," said Anil Kumar Bhansali, Head Of Treasury, Finrex Treasury Advisors LLP. Foreign portfolio investors continued their heavy selling streak, pulling out Rs 3,262.82 crore from Indian equities on January 19, 2026, as per exchange data. FPI sell orders worth Rs 15,642.57 crore far exceeded their purchases of Rs 12,379.75 crore, marking a sharp net outflow that has added to the sustained pressure on the markets. Bhansali further noted that the dollar index was slightly lower at 99.01 while Asian currencies were generally stable with the exception of CNH (Offshore Yuan) which has been gaining consistently since the last few months. The US Dollar Index fell slightly to 98.96 down by 0.20 per cent from Friday close of 99.13 amid thin Monday volumes and positioning ahead of European data. The index was up by 0.7 per cent despite a mixed NFP during the last week. A soft yen at 157.81 nearing 158 has taken the dollar index up while Euro was slightly up at 1.1660 and GBP at 1.3428, Bhansali said. "The rupee weakened by 0.05% yesterday as RBI did not allow the 91 level to be surpassed. The US Supreme Court will be giving a decision on the legality of the Trump Tariffs which will affect the world markets directly," Bhansali noted. Presently all the markets are in risk off mode with Gold and Silver getting bought as safe havens. Exporters are expected to continue selling only on cash/spot basis at the highest level of the day while Importers to buy the dips like the one they got yesterday, Bhansali added. (Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
