The Indian rupee weakened on Friday, edging close to its record low as oil stayed above $100 a barrel and US bond yields climbed. It fell 0.2% to 95.94, near the 95.9575 record hit the prior session, but state-run banks’ dollar sales helped prevent a deeper slide. Brent rose above $107 after fresh Iran-related uncertainty. India also raised petrol and diesel prices by more than 3% for the first time in four years, while markets priced about 90 bps of potential hikes, alongside expectations of Fed tightening.
FIIs have sold Indian equities on 150 of the past 240 trading days, a pattern analysts link to higher oil prices, a weaker rupee, and rising US bond yields. While global money is also rotating toward AI themes, domestic investors are picking up the slack, helping hold up the broader market despite sustained foreign selling pressures.
Your news, in seconds
Get the Beige app — every story in 60 words, updated hourly. Free on iOS & Android.
Swipe through stories, personalise your feed, and save articles for later — all on the app.
