Indian Rupee Hovers All-Time Low
2025-11-21 08:32
By
Joshua Ferrer
1 min. read
The Indian rupee traded past 89 per USD, hovering close to record low, as signs emerged that steep US tariffs are weighing on the economy.
A flash survey showed that the country’s economic activity slowed in November, with manufacturing growth easing to its lowest since May, while the services expansion moderated.
This comes after a record trade deficit in October, as exports to the US, India’s largest trading partner, slumped under the 50% tariffs imposed by President Trump, while uncertainty over a US-India trade deal added further pressure.
Also, the Reserve Bank of India appeared to eased its strong currency defense, fueling importer dollar demand.
On the policy front, a record low inflation and dovish commentary from RBI Governor Maholtra reinforced bets of a December rate cut.
He noted that rates could be lowered further, with recent economic data showing no diminished scope for easing.
Attention now turns to upcoming GDP data for clues on the country's overall economic health.