Rupee plummets to all-time low

Terrible Thursday

- Christina Titus

The rupee closed at 87.60 on Thursday, its lowest closing ever, after US President Donald Trump's announcement of a 25% tariff and additional penalty on India unnerved traders. It also logged its worst monthly fall since 2022. Intra-day, it touched a low of 87.74 before recovering to close at 87.60, down 18 paise.

In July, the rupee weakened 2.15% (185 paise), the highest since September 2022 and 2.5% (214 paise) in the current financial year. The rupee logged its intra-day low of 87.95 on February 10.

"Tariff concerns and elevated crude oil prices are currently contributing to the rupee's depreciation. Additionally, a recent uptick in the US dollar index has added further pressure on the rupee," said VRC Reddy, head of treasury, Karur Vysya Bank.

The dollar index came back to 100 after two months, up 0.2% from the previous day.