Rupee falls 5 paise to 88.76 in opposition to U.S. greenback in early commerce

The rupee witnessed range-bound buying and selling in morning offers on Friday (October 3, 2025) and depreciated 5 paise to 88.76 in opposition to the U.S. greenback, because the power of the American forex within the abroad market and a unfavourable development in home equities weighed on investor sentiments.

Forex merchants mentioned the USD/INR pair is buying and selling in a slender vary as strain from U.S. insurance policies, commerce tensions and world uncertainties dented sentiments additional.

Moreover, persistent overseas fund outflows and the continuing U.S. visa price hike situation dragged down the home unit.

At the interbank overseas trade market, the rupee opened at 88.68, then misplaced floor and touched 88.76 in opposition to the U.S. greenback, registering a decline of 5 paise over its earlier shut.

On Wednesday, the rupee recovered 9 paise from its all-time closing low to settle at 88.71 in opposition to U.S. greenback.

Equity, foreign exchange, bullion and commodity markets had been closed on Thursday on account of Gandhi Jayanti and Dussehra.

“Exporters can also consider some options strategies to leave room for any volatility in the market. Capital outflows, high gold imports and global risk aversion have also contributed to rupee weakness and a challenging currency environment,” mentioned Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP.

Mr. Bhansali additional mentioned that markets proceed to cost in strain from US insurance policies, commerce tensions and world uncertainties which have pushed the Indian rupee to weak point within the final one yr by greater than 5 per cent.

Meanwhile, the greenback index, which gauges the buck’s power in opposition to a basket of six currencies, rose 0.04% to 97.88.

Brent crude, the worldwide oil benchmark, was buying and selling 0.55% increased at $64.46 per barrel in futures commerce.

On the home fairness market entrance, Sensex declined 299.17 factors to 80,684.14 in opening commerce, whereas the Nifty dropped 76.75 factors to 24,759.55.

Foreign Institutional Investors offloaded equities price ₹1,605.20 crore on a web foundation on Wednesday, in accordance with trade information.

Meanwhile, the RBI left its key rates of interest unchanged on Wednesday, because it waited for larger readability on the affect of U.S. tariffs in addition to playout of earlier charge cuts and up to date tax reductions.

RBI Governor Sanjay Malhotra, nevertheless, signalled scope for alleviating within the coming months to help the economic system from any attainable hit from U.S. tariffs.