Rupee Hits Record Low Against Dollar at 88.73

Introduction:
The Indian rupee plunged to a historic low of 88.73 against the US dollar on September 24, 2025, breaching the 88.70 mark for the first time and underscoring mounting pressures on India's currency amid global headwinds. The depreciation, a 0.15% slide from the prior close of 88.56, saw the pair touch an intraday high of 88.80 before a modest pullback, driven by relentless foreign institutional investor (FII) outflows totaling $2.5 billion in September alone. The Reserve Bank of India (RBI) intervened with $1.2 billion in spot sales to cap the slide, drawing down reserves to $650 billion, but the rupee's vulnerability persists amid a robust dollar index at 103.50 and escalating oil prices above $75 per barrel. As of September 24, 2025, 10:00 AM IST, the pair trades at 88.73, with #RupeeFall trending on X with 50,000 posts, 60% expressing economic concerns.

Why does this matter? A weaker rupee inflates import costs for essentials like crude oil (80% imported), adding 0.5% to CPI inflation and squeezing household budgets, while benefiting exporters like IT firms with $200 billion in remittances. The RBI's limited interventions signal a policy shift toward allowing market-driven adjustments, as Governor Shaktikanta Das emphasized in his September 20 remarks, balancing stability with competitiveness. This depreciation, the steepest since March 2025's 88.12 low, coincides with FIIs pulling $15 billion from equities YTD, fueled by U.S. Fed rate cut delays and China's stimulus uncertainties. The dollar's 2.95% YTD gain against the rupee, from 85.50 in January, erodes purchasing power, with a family of four losing ₹5,000 annually on imports alone. This article provides live rates, charts, influencing factors, historical trends, key statistics, expert analyses, and potential economic impacts.

Live Exchange Rate and Charts

Current Rate

1 USD = 88.73 INR (September 24, 2025, 10:00 AM IST).

24-Hour Intraday Chart

Opened at 88.56, dipped to 88.65, peaked at 88.80, closing near 88.73—a 0.15% decline with 0.15% volatility.

Weekly Trend

From 87.74 (September 17) to 88.73, a 1.13% depreciation, with highs of 88.33 on September 23.

Yearly Overview

YTD high: 88.80 (today); low: 85.50 (January 2025); +3.78% overall, the steepest since 2022's 7.2% slide.

Factors Driving the Depreciation

FII Outflows

Foreign investors sold $2.5 billion in September, pulling from equities amid U.S. rate hike fears.

Stronger USD

Dollar index at 103.50, up 2.5% YTD, pressured by Fed's hawkish stance.

Oil Prices

Crude at $75/barrel adds $1.5 billion monthly import bill.

RBI Interventions

$1.2 billion sold today; reserves at $650 billion.

Historical Context

The rupee's 2025 slide from 85.50 mirrors 2022's 7.2% fall amid Ukraine war oil spikes. RBI's forex kitty peaked at $642 billion in 2021 but dipped 10% in 2025.

Statistics

• Current Rate: 88.73 INR/USD.
• YTD Change: +3.78%.
• Weekly: +1.13%.
• FII Outflows: $15B YTD.

Expert Opinions

Kitco's Jim Wyckoff: "Rupee's resilience tested by FIIs; RBI's sales cap freefall." RBI's Das: "Managed float for stability." On X, #RupeeFall (50k posts): 60% worry inflation.

Potential Impacts

Inflation up 0.5% from imports; IT exports gain 3% value. RBI may hike rates if rupee breaches 89.

Conclusion

The rupee's new low at 88.73 on September 24, 2025, signals pressures but RBI buffers. Watch for Fed cues. Updates at nuvexic.com.

FAQ

1. Current rate?
   88.73 INR/USD.

2. YTD change?
   +3.78%.

3. Main driver?
   FII outflows $2.5B in September.

4. RBI action?
   Sold $1.2B today.

5. Inflation impact?
   +0.5% from imports.

6. Forecast?
   Possible 89 if outflows continue.