- By Aditya Pratap Singh
- Thu, 14 May 2026 10:34 AM (IST)
- Source:JND
Rupee at All-Time Low: The rupee opened weak in morning trade on Thursday, falling 20 paise to a record low of 95.86 against the US dollar on rising crude oil prices due to supply disruption from the Strait of Hormuz amid the West Asian crisis.
The Indian currency has now weakened by more than 6 per cent against the US dollar since the start of the war between the US, Israel and Iran. This decline makes the Indian Rupee the weakest currency in Asia so far in 2026.
Earlier, on May 13, the Indian government increased the import duty on gold and silver from 6 per cent to 15 per cent to conserve foreign exchange reserves.
However, according to market experts, the rupee's movement will be determined more by rising crude oil prices and the situation in West Asia than by gold.
In the interbank foreign exchange market, the rupee opened at 95.74 and then fell further against the US dollar, falling 20 paise from its previous close to a record low of 95.86.
In the previous session too, the rupee had hit an all-time low of 95.80 against the US dollar and closed near its record low of 95.66.
Will the Rupee Hit 100
According to Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, continuous rupee depreciation is becoming a major macro threat to the economy.
"This year began with the rupee at 90 to the dollar. Since then, it has steadily depreciated to its present level. If crude remains elevated for an extended period, the rupee will move to 100. The other major drag on the rupee is the sustained selling by FPIs in the Indian market," Vijayakumar said.
"Money is moving into markets like the US, Japan, South Korea and Taiwan, which are doing very well. So long as the outperformance of these markets and the underperformance of India continues, FPIs will continue to sell, which, in turn, will further drag the rupee down," he noted.