Indian Rupee Hits Record Low Against Dollar; Foreign Fund Outflows Blamed

• The Indian Rupee closed at a record low of 91.97 against the US dollar on Friday.
• Market experts attribute the rupee's weakness to continuous stock market decline and significant foreign investor withdrawals.
• Foreign portfolio investors withdrew approximately $3.5 billion from the Indian stock market in January alone.
• The Nifty index fell by almost 5 percent in January, and the Sensex dropped over 769 points on Friday.
• Factors like a strengthening dollar, increased import demand, and offshore speculative trading also pressured the rupee.

Why It Matters: The Indian Rupee reached a new low against the dollar due to foreign fund outflows and market volatility.