The Indian rupee slid past 90.6 per dollar, continuing to set fresh record lows, pressured by the absence of a trade deal with the US amid prolonged negotiations and persistent foreign outflows from local equities and bonds. The currency has fallen 5.5% this year, making it Asia’s worst performer, hurt by steep US tariffs that have weighed on exports and dampened investor interest in local markets. Overseas investors have offloaded more than $18 billion in stocks so far in 2025, with over $500 million in bond sales in December alone. Investor sentiment has also been weighed down by remarks suggesting a US trade agreement is unlikely before March, while talks with the EU also appear stalled. Meanwhile, November’s inflation edged up to 0.71%, still well below the RBI’s 2% lower threshold, leaving room for potential rate cuts in 2026. Market focus now turns to India’s November trade data, expected to show a $32 billion goods deficit, down from a record high of $41 billion in October.