The rupee continues to drift weaker against the U.S. dollar today.

Drivers include strong dollar demand from importers and equity outflows. 

The one-month non-deliverable forward signals a slightly weaker opening. 

RBI is intervening selectively to curb volatility—not defending a fixed rate. 

The 88.80 level (rupee’s lifetime low) is being closely watched. 

U.S.–India trade tensions and dollar strength are additional headwinds. 

A U.S. government shutdown is delaying key economic data, hurting clarity. 

Weak U.S. job data has increased expectations for Fed rate cuts. 

RBI’s upcoming moves may set the short-term tone for currency markets. 

Investors may re-balance portfolios in light of currency uncertainty.