CA-20260924-7506High Exam Priority
Rupee drops 23 paise to settle at 95.96 against U.S. dollar amid rising crude oil prices
24 September 2026
4 min read
The Indian rupee weakened by 23 paise to settle at 95.96 against the U.S. dollar on September 24, 2026. This depreciation was primarily driven by surging crude oil prices, a strong greenback, and foreign capital outflows amid geopolitical uncertainties.
Key Highlights
- The domestic currency fell 23 paise to close provisionally at 95.96 against the U.S. dollar at the interbank foreign exchange market.
- Surging Brent crude oil prices and a robust U.S. dollar driven by expectations of Federal Reserve rate hikes weighed heavily on the rupee.
- Heavy selling in domestic equity markets prompted investor risk aversion, further strengthening the greenback.
- Higher U.S. bond yields, fueled by resilient purchasing managers' index (PMI) data and weak Treasury auction demand, contributed to currency depreciation.
Exam Quick Facts
Nodal Ministry / Dept
Ministry of Finance, Government of India
Key Bodies
Reserve Bank of India (RBI), Interbank Foreign Exchange Market
Constitutional & Legal Context
Managed floating exchange rate system where the Reserve Bank of India intervenes in the foreign exchange market to curb excessive volatility in the rupee.
Static GK Connection
Foreign Exchange Management Act (FEMA), 1999 governs foreign exchange transactions in India.