Indian Shares Plunge as Rupee Hits Record Low Against Dollar

Indian equities closed sharply lower on January 23, 2026, as the rupee hit a new record low against the U.S. dollar, intensifying concerns over currency volatility and its impact on exports. The S&P BSE Sensex fell 3.5%, while the Nifty 50 index dropped 3.8%, with banking and export-oriented sectors suffering the most. The rupee depreciated to 84.50 per dollar, its weakest level since 2019, driven by rising import costs and foreign exchange outflows. Analysts warned that further depreciation could pressure corporate earnings and prompt tighter monetary policy from the Reserve Bank of India. Global investors remain cautious amid geopolitical tensions and slowing economic growth in key markets.