Rupee sinks to record low as Hormuz shutdown drives oil shock and outflows

Oil shock from Hormuz shutdown is the key swing

The rupee has hit a record low as investor outflows and an oil-driven energy shock tied to the prolonged U.S.-Iran conflict intensify pressure on India’s economy. With the Strait of Hormuz effectively shut, economists have cut growth forecasts, lifted inflation expectations, and warned the current account strain could keep the rupee under sustained selling pressure.