India rupee sinks to record low, US tariffs keep outlook fragile

The Indian rupee dropped to an all-time low against the U.S. dollar on Thursday, in a slide that reflects the mounting strain of U.S. tariffs on Asia's third largest economy. Punitive U.S. tariffs on Indian goods, which kicked in last month, are denting investor confidence, making the rupee one of the most vulnerable Asian currencies. Foreign investors have withdrawn a net of $11.7 billion from India's debt and equity markets so far this year.