Rupee Slides to Fresh Low as Market Pressures Persist on Dec 11, 2025

The Indian rupee moved to a new low against the US dollar as ongoing uncertainties and dollar demand from corporates added pressure to the currency.

With the exchange rate slipping beyond the 90 per dollar threshold, market participants observed that the Reserve Bank of India likely stepped in to temper the pace of depreciation.

The currency’s performance reflects persistent strain in the absence of progress on a trade agreement with the United States.

Rupee Touches New Record Low Amid Market Uncertainty

1. Currency Movement and Market Context

The rupee declined to around 90.47 against the US dollar, marking its weakest level to date and surpassing the previous low recorded earlier in December. 

The currency has been under pressure due to sustained concerns regarding the lack of advancement on a proposed trade arrangement with the United States, which has influenced broader market sentiment.

2. Role of Corporate Dollar Outflows

As per news reports, domestic corporates were active buyers of dollars, contributing to additional downward pressure on the rupee. 

The combination of global uncertainties and local foreign exchange demand has kept the currency on a weakening trajectory.

3. Likely Central Bank Intervention

According to the news reports the Reserve Bank of India is believed to have intervened in the market during the session. 

The intervention was described as relatively limited in scale, aimed at slowing the extent of the rupee’s depreciation rather than defending a particular level. 

Such actions are consistent with the central bank’s broader approach to maintaining orderly market conditions.

Read More: Rupee Falls Past 90 Per Dollar: A Four-Decade Slide Reaches a New Milestone.

Conclusion

The rupee’s decline reflects a mix of external challenges and domestic demand dynamics. While the central bank appears to have taken steps to reduce volatility, the currency’s direction will likely depend on global developments, trade negotiations and future capital flows.

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