Rupee Hits Record Low of 91.29 Against Dollar Amid Global Uncertainty

• The Indian Rupee reached an all-time low of 91.2950 against the US dollar, surpassing its previous low of 91.0750.
• Key factors contributing to the decline include rising global uncertainty from the Greenland dispute, continued capital outflows, and risk aversion.
• Foreign investors have withdrawn approximately $3 billion in January, following a record $18.9 billion outflow in 2025.
• The absence of a US-India trade agreement has removed a potential inflow trigger, further pressuring the Rupee.
• The RBI has adopted a stable stance, intervening periodically to absorb pressure rather than defending a specific level.

Why It Matters: The Indian Rupee plunged to a record low due to global uncertainty, capital outflows, and lack of trade agreement progress.