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Rupee weakens against dollar on Wednesday

04 Mar 2026 Evaluate

Indian rupee weakened against the U.S. dollar on Wednesday weighed by high global crude oil prices and strong dollar. Investors are worried about the implications of high crude oil prices on inflation and the country’s current account deficit. The data released by the Reserve Bank of India (RBI) has showed that India’s current account deficit (CAD) edged up to $13.2 billion or 1.3% of Gross Domestic Product (GDP), in the December quarter of FY26 (Q3FY26) from $11.3 billion or 1.1% of GDP in the year-ago period. Besides, fund pullout by foreign institutional investors (FIIs) have contributed in rupee weakening against the dollar. The FIIs were the net sellers of securities worth Rs 3,295.64 crore on Monday’s session. On the global front, the Japanese Yen has strengthened against the U.S. dollar in Asian session on Wednesday after Japan's consumer sentiment improved for the second straight month in February to the highest level in nearly seven years.

Finally, the rupee ended at 92.04 (Provisional), weakened by 55 paise from its previous close of 91.49 on Monday. The currency touched a high and low of 92.35 and 91.95 respectively.

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