The Indian rupee fell for the fourth consecutive day on Thursday, ending the day at 94.11 per US dollar, losing 33 paise compared to the last day’s performance. The rupee crossed the mark of 94 for the second time this month due to higher crude oil prices, foreign fund inflows, and strong dollar. The currency started the day at 94.03, touched an intraday low of 94.17 and gained some ground to 93.98 only to lose ground as the day wore on. In the past four days, the rupee has fallen by almost 1.3 percent compared to the level seen on April 17.
The weak rupee can be attributed to external factors, with higher oil prices causing increased India’s import bills and raising the current account deficit. The ongoing geopolitical issues in West Asia have made the global environment risky and boosted the demand for the US dollar, thus making other currencies such as rupee relatively unattractive. The dollar index, reflecting the performance of US dollar vis-à-vis major currencies, stayed firm at around 98.5 levels, putting more pressure on rupee. Market players pointed out the sustained selling pressure from foreign institutional investors who sold stocks amounting to more than Rs 2,000 crores.
These effects are felt through all the financial markets in India. Stock market indices exhibited considerable movements, with the BSE Sensex index declining by more than 850 points and closing at around 77,664 levels. Similarly, the Nifty 50 Index also fell by over 200 points and closed at about 24,173. Depreciation of the currency usually causes apprehensions regarding imported inflation and results in increased costs for industries that require foreign imports, including oil marketing companies, airlines, and chemicals. Conversely, IT and pharma industries that rely heavily on exports can benefit from currency depreciation since their foreign revenue can earn them greater amounts in local currency.
According to experts, the future of the rupee exchange rate would largely depend upon global events. A further increase in international geopolitical issues, especially around important maritime channels such as the Strait of Hormuz, could result in rising crude prices and negatively affect the currency. The USD/INR currency pair is expected to trade between 93.80 and 94.50, contingent upon the movement of the crude oil prices and foreign investment inflows.
Moving forward, there should be a close observation of the trends in crude oil prices, the behavior of foreign institutional investors (FII), and global risks. These will have a major impact on whether or not the rupee will stabilize.
It is recommended that any investor first seek the advice of a SEBI-certified financial planner before investing.
Reviewed for accuracy and last updated on April 23, 2026.
