Rupee falls 16 paise to 96.13 against U.S. dollar in early trade

The rupee depreciated 16 paise and slumped below the psychologically important 96 per dollar level in early trade on Tuesday (September 29, 2026), weighed down by elevated crude oil prices and persistent foreign fund outflows.

Forex traders said the rupee is under pressure largely due to the combination of firm oil and rising U.S. nominal and real yields, which together are drawing portfolio flows out of emerging markets, including India.

At the interbank foreign exchange market, the rupee opened at 96.03, then fell to 96.13 against the U.S. dollar, registering a fall of 16 paise from its previous close. On Monday (September 28), the rupee had settled at 95.97 against the American currency.

"We could see 96.50 in the coming days, and a clear break above 96.50 would open the door towards 98. Major support is now at 95.50.