Indian rupee hits all-time low amid geopolitical tensions. The domestic currency slumped 69 paise to 92.18 against the US dollar on Wednesday, marking its weakest level ever recorded. The sharp decline stems from multiple factors weighing on investor sentiment. Crude oil prices surged following US-Iran escalation, with Brent crude climbing to $82.22 per barrel. This spike directly impacts India's import costs, as the nation relies on imports to meet 85 percent of its fuel requirements. Foreign investors are shifting toward safe-haven assets, triggering persistent capital outflows from domestic equities. Traders note the USD/INR pair faces sustained pressure as the dollar index strengthened to 99.08. The rupee's weakness threatens to inflate India's import bill significantly, potentially straining the trade balance.
