The Indian rupee closed modestly weaker on Thursday, settling at 96.34 against the US dollar.
The currency failed to capitalize on a decline in crude oil prices and a general strengthening trend across Asian foreign exchange markets.
Instead, selling pressure was driven by dollar demand linked to the maturation of non-deliverable forward (NDF) contracts.
This session’s movement marks a continuation of the rupee’s recent slide.
The currency had already breached the 96.00 threshold on Tuesday, reaching its lowest valuation since late May, before settling at 96.2550 on Wednesday.
The current weakness underscores the persistent headwinds facing the rupee, which is absorbing the dual pressure of elevated energy costs and deteriorating sentiment bias among traders.