Rupee weakened sharply on April 13, 2026, opening at 93.28 against the US dollar, down by 55 paise from the previous close. The fall highlights the growing impact of global factors on the domestic currency.
A key reason behind the decline is the spike in crude oil prices, which moved above $100 per barrel amid rising geopolitical tensions in the Middle East. Fears of supply disruptions have unsettled global markets, and for India, higher oil prices mean a bigger import bill and added pressure on the rupee.
The situation is further complicated by a stronger US dollar. As uncertainty rises, investors tend to move funds into safe-haven assets like the dollar. This shift reduces demand for emerging market currencies, including the rupee.
Adding to the pressure, foreign institutional investors have been steadily withdrawing funds from Indian equities. This capital outflow has weakened overall market sentiment and contributed to the rupee’s decline. At the same time, domestic stock markets have also seen a sharp fall, reflecting investor caution.
Despite some support from exporter dollar sales and possible central bank intervention, the rupee remained under pressure in early trade. Global bond yields have also risen, making developed markets more attractive for investors.
