Rupee Tumbles Below Key Level as Global Markets Sour

The Indian rupee plummeted to its lowest level in over two months on Thursday (October 1, 2026), closing at 96.31 against the U.S. dollar after experiencing a 37-paise decline.

This significant drop was attributed to risk aversion in global markets and rising global bond yields, which had investors selling off assets and pressuring domestic currency values.

Forex traders are anticipating further downward pressure on the rupee due to ongoing concerns over global treasury yields and a strengthening U.S. dollar.