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Indian rupee weakens against dollar on Wednesday

21 Jan 2026 Evaluate

Indian rupee weakened against the U.S. dollar on Wednesday as fears over lingering global trade wars owed to tension between U.S. and European Union continued to weigh on investors’ sentiments. Besides, traders remained cautious amid persistent selling by foreign institutional investors (FIIs). The FIIs were the net sellers of securities worth Rs 2,938.33 crore on Tuesday’s session. Meanwhile, market participants took note of the Ministry of Commerce & Industry's data that showed the output of eight key infrastructure sectors grew at a slower pace of 3.7% in December 2025 as compared to 5.1% in the same month last year, amid a dip in production of crude oil, natural gas, and refinery products. On the global front, the Japanese Yen weakened against the U.S. Dollar on Wednesday as bond yields surged to all time highs amid worries about government spending.

Finally, the rupee ended at 91.61 (Provisional), weakened by 64 paise from its previous close of 90.97 on Tuesday. The currency touched a high and low of 91.74 and 91.05 respectively.

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