Rupee hits record intra-day low in early trade, falls 12 paise to 92.37 against US dollar

The Indian rupee plunged to an unprecedented low of 92.43 against the US dollar in early trading on Friday, driven by concerns over persistent high oil prices amid ongoing conflict in the Middle East. This drop marks a new record, surpassing its previous low of 92.3575 set just a day earlier. Analysts attribute the rupee's decline, which has exceeded 1% since the onset of hostilities in Iran, to heightened economic risks that the rising cost of oil poses for India. Despite this adverse trend, the rupee has shown relative resilience compared to other emerging market currencies, thanks in part to the proactive measures by the Reserve Bank of India. Oil prices have surged to around $100 per barrel, a significant increase from about $70 prior to the escalation of tensions in the region, further exacerbating the situation for the Indian economy reliant on oil imports. Investors are closely monitoring these developments, as continued volatility in the global financial markets may influence future currency stability and economic projections for India.