Rupee vs Dollar: Indian currency drops to new record low of 94.82 against US dollar on March 27, check key triggers

The data collected from Investing.com showed that the Indian currency dropped to a fresh record low level of 94.82 against the US dollar as of 2:41 pm on March 27. The Indian rupee has been witnessing high volatility in the currency market since the beginning of the conflict due to the high foreign investor outflow.

NSE data collected from Wednesday, March 25, showed that foreign investors (FII/FPI) sold ₹1,508.89 crore on the capital market segment, while overall ₹1,805.37 crore across the exchanges.

According to a PTI report, the rupee opened at 94.18 on Friday and kept sliding to its record low level against the US dollar during the intraday trading session.

US dollar snapshot

Bloomberg US dollar spot index data showed that the US greenback’s rate was trading 0.11% higher at 100.007 as of 5:51 am (EDT) on Friday, March 2026, due to the heightened uncertainty in the market. The US dollar demand witnessed a surge, crossing the 100 level on the index after trading around the 99 level for the last few days.

The dollar index is strengthening against a basket of six currencies amid the backdrop of rising oil prices in the global market. Brent crude oil prices were trading 1.22% higher at $103.13 per barrel (bbl) as of 3:36 pm (IST), compared to the previous market close of $101.89 per bbl, according to Investing.com data.

Analysts predict that due to the oil importers buying US dollars, FII outflows and a drop in the domestic equity market, further pressure the overall demand for the currency in the global market. This factor added to the Indian currency hitting its record low on March 27.

“With consistent buying from oil companies, the rupee breached 94.50 with exporters holding their inflows, while importers buy dollars for their payables,” Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP, told the news agency PTI.

Due to the heightened uncertainty in West Asia and the falling rupee, the Indian stock market also witnessed an overall selloff on Friday.

The benchmark NIFTY50 index closed 2.09% lower at 22,819.60 as of 3:30 p.m., compared to 23,306.45 points at the previous market close, according to NSE data. The SENSEX was down 2.25% at 73,583.22 points, compared to 75,273.45 points at the previous market close.