The Indian rupee stumbled on Friday, losing 7 paise to close at 85.40 against the U.S. dollar. What began as a hopeful start quickly turned sour as the currency faced intense pressure from both global and local factors.

The day opened with the rupee at 85.17, even reaching an intra-day high of 85.08. But optimism didn't last long. The rupee slid sharply to a low of 85.65 before finally settling lower, signaling growing nervousness among investors.

So, what caused this sudden fall? Forex traders blame escalating geopolitical tensions, especially after a terror attack in Pahalgam, Jammu and Kashmir. This unsettling event sent shockwaves through the markets, pushing investors to seek safer assets like the U.S. dollar.

The domestic stock market also reflected this unease, trending downward and adding to the rupee's downward momentum. The combined effect of geopolitical risks and weak market sentiment created a perfect storm for the rupee.

This latest dip highlights how vulnerable the rupee is to external shocks and domestic instability. With the currency closing at 85.40, all eyes are now on policymakers and investors. Will the rupee bounce back, or is this the start of a deeper decline? The currency market drama is far from over!