The Indian foreign exchange market was rocked today when the Indian rupee plummeted to an all-time low of ₹95.20 against the US dollar. The dollar's growing strength in global markets and a sudden surge in crude oil prices have crippled the Indian currency. This is the first time the rupee has crossed the ₹95 mark, threatening the country's economy and the common man's pockets.

The main reason behind this huge fall in the rupee is the crude oil prices crossing $120 per barrel in the international market. Oil prices are on fire due to the increased pressure on Iran by the US and the increasing geopolitical tension in the Middle East. Since India imports more than 80% of its crude oil needs, the demand for dollar has increased, due to which the value of rupee is decreasing. Also, due to less possibility of interest rate cut by the US Federal Reserve, foreign investors are withdrawing money from the Indian market and investing in dollar. This selling by foreign portfolio investors (FPI) has further increased the pressure on the rupee.

What will be the impact on the common man?
Petrol and diesel will become expensive : India will now have to pay more dollars for importing crude oil, due to which the prices of petrol and diesel may increase in the domestic market.

Prices of electronic goods will increase : Gadgets like mobile phones, laptops and TVs imported from China and other countries will become expensive.

Studying and Traveling Abroad : Students studying abroad or those planning to travel abroad may see their budget increase by 10-15% as they will now have to pay more rupees to buy dollars.

Price of food plate will increase : Kitchen budget may also get affected due to expensive import of edible oils and pulses.

Fear was also seen in the stock market

The rupee's freefall was also felt on Dalal Street. The Sensex and Nifty fell sharply as trading began this morning. Investors fear that the rupee's weakness will increase companies' input costs, thereby reducing their profits.