Rupee slumps 73 paise to 91.69 against dollar

by Hansraj Agrawal | Jan 21, 2026 | Business

The last time the rupee saw a steep single-day fall was on November 21, 2025, when it plummeted 93 paise.

The rupee crashed on Wednesday to close at an all-time low of 91.6950, weighed down by a host of factors including outflows due to FPI selling in the Indian equity markets, corporate demand, ripple impact of the EU’s push back against aggressive US stance to acquire Greenland, and continuing uncertainty on India’s tariff agreement with the US.

The Indian currency slumped about 73 paise vs previous close of 90.97. Opening weaker at 91.10 per USD, the rupee tested an all- intraday time low of 91.7425. However, the RBI apparently intervened in the market, ensuring a slight pull back.

The last time the rupee saw a steep single-day fall was on November 21, 2025, when it plummeted 93 paise.

“The Indian rupee weakened past the 91.70 mark for the first time on Wednesday, as deteriorating global risk sentiment intensified capital outflow pressures that have weighed on the currency over the past year.

“Risk appetite turned sharply negative after US President Donald Trump threatened fresh tariffs on eight European nations unless the United States is permitted to purchase Greenland, raising the risk of retaliatory measures from Europe. This escalation has reinforced a broad risk-off environment across global markets,” said Amit Pabari, MD, CR Forex Advisors.

Pabari said that over the past two sessions, both global and Indian equities have declined, while gold prices have risen—clear signs of defensive positioning. Such conditions are typically unfavourable for emerging-market currencies, leaving the Rupee under renewed pressure, he added.

Anindya Banerjee, Head of Commodity and Currency Research, Kotak Securities, observed that the USD/INR has surged to record highs, driven by a combination of sustained FPI outflows, adverse global risk sentiment stemming from geopolitics and U.S.–India trade frictions, and a slowdown in exporter dollar conversions even as importer hedging demand remains strong.

“RBI intervention is helping smooth volatility but is not reversing the trend. In the near term, USD/INR could extend towards 92–92.50 levels. Key catalysts to watch are progress on the India-EU FTA and signals from the Union Budget on February 1st.

“Over the medium term, the rupee looks undervalued, but stabilization will require improvement in capital flows and global risk appetite,” Banerjee said.

Global uncertainty

Pabari said in the current environment, much of the global uncertainty appears to be largely priced into the rupee. From these levels, a phase of consolidation—or even a partial reversal—in both the rupee and domestic equity markets cannot be ruled out.

Strong resistance is seen near the 92.00 mark, while sustained RBI intervention could help guide USD/INR back towards the 90.50–90.70 zone in the near term, per his assessment.

Published on January 21, 2026

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Fintechs line up for IPOs as profitability, governance take centre stage

by Hansraj Agrawal | Jan 21, 2026 | Business

Public market investors, however, are becoming more selective across fintech segments. While payments remains a large-scale opportunity, it is increasingly viewed as a base-layer business unless companies demonstrate monetisation beyond transaction volumes

India’s fintech sector is gearing up for a fresh wave of initial public offerings in 2026, as several late-stage platforms prepare to tap public markets after a prolonged reset phase marked by tighter capital and regulatory scrutiny.

After a funding boom in 2021-22 and a subsequent slowdown, investors say the sector has entered a more mature phase, defined by stronger unit economics, clearer compliance frameworks and a renewed appetite for quality listings. “The last two years were a reality check,” said Ajay Jain, founder and managing partner, Silver Needle Ventures. “Growth slowed, capital became selective, and companies were forced to focus on fundamentals. As a result, many late-stage fintechs are now in a much stronger position to approach public markets,” he said.

Market conditions have also turned favourable. According to industry executives, improved liquidity in the primary markets and the successful performance of listed fintech peers have helped reset investor expectations. “This cycle is very different from the funding-boom era, when valuations were often detached from profitability,” said Pratip Majumdar, co-founder and partner, Inflexor Ventures. “The current crop of IPO-bound fintechs has gone through a clear path-to-profitability pivot, with investors now rewarding clean unit economics, operating leverage and regulatory readiness,” he said.

Cautious mood

Public market investors, however, are becoming more selective across fintech segments. While payments remains a large-scale opportunity, it is increasingly viewed as a base-layer business unless companies demonstrate monetisation beyond transaction volumes. Lending and insurance-led platforms, by contrast, are attracting stronger interest due to clearer revenue visibility and improving regulatory clarity. Majumdar noted that “investors are gravitating toward models where profitability is structurally visible and regulatory risk is capped,” adding that asset-light and distribution-led platforms are being valued more favourably.

Valuation expectations, too, have shifted closer to public-market benchmarks. “Investors today are underwriting fintech IPOs on earnings quality rather than narratives,” said Arpit Beri, Managing partner, Jungle Ventures. He added that anchor investors are closely scrutinising revenue quality, margins and return ratios, leading to more moderate and realistic pricing at listing.

Beri said the transition to public markets is also reinforcing discipline across the ecosystem. “Public markets are a credible source of long-term capital for scaled fintechs, but they come with higher expectations on governance and delivery,” he said, adding that only “battle-tested” businesses with regulatory clarity and strong balance sheets are making the cut.

Investors believe this IPO cycle could have a broader spillover effect. “Preparing for public markets naturally pushes companies to be more disciplined with capital and clearer on monetisation,” Jain said, calling the shift “a healthy development” for India’s fintech ecosystem.

Published on January 21, 2026

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US-EU Greenland spat lifts gold to a new high; silver firm near /oz

US-EU Greenland spat lifts gold to a new high; silver firm near $95/oz

by Hansraj Agrawal | Jan 21, 2026 | Business

In the global market, gold was quoted at $4,855 announce at 1950 hours IST after having ruled over $4,870 at one point in time
| Photo Credit:
brightstars

Gold prices soared to a new high in the global and Indian markets, with the yellow metal topping $4,850 an ounce on Wednesday. Silver continued to rule firm around $95 an ounce as the precious metals complex continued to shine on increasing geopolitical tensions, particularly between the US and Europe over Greenland.

In India, the yellow metal ended at ₹1,54,227 per 10 gm in the Mumbai spot market. On MCX, February futures ruled at ₹1,57,582.

In the global market, gold was quoted at $4,855 announce at 1950 hours IST after having ruled over $4,870 at one point in time. On COMEX, February futures quoted at $4,854.65.

Silver went past $95 an ounce again before quoting at $94.23. March futures of the white precious metal on COMEX were ruling at $94.150.

Markets unsettled

In the Mumbai spot market, it closed at ₹3,19,097 a kg. On MCX, March futures quoted at ₹3,32,462 after touching a high of ₹3,35,521.

Platinum topped $2,500 an ounce and was quoted at $2,508, while palladium ruled at $1,905.5 an ounce. Gold has gained 12.5 per cent since the beginning of this year, while silver has increased by over 32.5 per cent.

Colin Shah, MD, Kama Jewelry, said the markets have been unsettled by Trump’s renewed interest in buying Greenland. The US plans to impose 10 per cent tariffs from February 1 on eight European countries, including France, Germany, and the UK, with the possibility of the tariffs rising to 25% by June.

“This current surge in gold and silver prices is largely driven by the global uncertainty and geopolitical tensions, which are pushing investors towards gold as a haven,” he said.

Renisha Chainani, head of research at Augmont, said investors are closely watching Europe’s response to the tariff threat against eight nations opposing the move, as well as developments from Davos, where Trump is expected to discuss the issue with global leaders.

Consumers may turn cautious

“Against this backdrop of rising geopolitical risk and macro uncertainty, gold demand has strengthened sharply, with prices potentially extending their rally toward $5,000/oz as risk-off sentiment persists,” she said.

Shah said the current volatility may continue in the near term, but higher prices could make consumers more cautious, especially in price-sensitive segments of the jewellery market.

“Globally, this could impact both exports and buyers, particularly for gold, as end-consumers may rethink their purchases,” he said.

Published on January 21, 2026

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Reliance to resume Russian oil imports in February and March

by Hansraj Agrawal | Jan 21, 2026 | Business

Reliance Industries Ltd, which operates the world’s largest refining complex, is set to receive sanctions-compliant Russian oil in February and March after a one-month pause, according to sources.
| Photo Credit:
Dado Ruvic

India’s Reliance Industries Ltd, operator of the world’s largest refining complex, is set to receive sanctions-compliant Russian oil in February and March after a one-month pause, four sources familiar with the matter said.

Sanctions workaround

Reliance last received Russian crude in December after securing a one-month U.S. concession that allowed it to wind down dealings with the sanctioned Russian oil producer Rosneft beyond a November 21 deadline.

Like other Indian refiners, Reliance will buy Russian oil from non-sanctioned sellers, the sources said, without elaborating on the number of February and March cargoes that the refiner has booked.

It is not clear if the private refinery will continue to buy Russian oil beyond March.

Reliance did not respond to a Reuters email seeking comment.

Despite Reliance’s return, India’s overall Russian oil imports are expected to stay subdued through February and March, the sources added.

Past arrangements

Reliance had been importing Russian crude under a long-term agreement with Rosneft for 500,000 barrels per day (bpd) for its 1.4 million bpd Jamnagar refinery complex in Gujarat.

EU restrictions

The European Union has said from January 21 it will not take fuel produced at refineries that received or processed Russian oil 60 days prior to the bill-of-lading date.

Reliance has said it will process the cargoes that arrived after November 20 at its India-focused 660,000 barrels per day plant, allowing it to continue selling fuels to the EU from its 704,000 bpd export-oriented refinery.

Import recalibration

Refiners in India, which became the top buyer of discounted Russian seaborne crude following the 2022 outbreak of war in Ukraine, are recalibrating their crude import strategies, raising Middle Eastern purchases as they shift away from Russia.

Supply resilience

“We have faced instances where sanctions were imposed suddenly and we had to cut back,” Srinivas T, chief operating officer, refinery and marketing, at Reliance, said last week.

Reliance had ramped up purchases from national oil companies elsewhere ahead of time to avoid spot market disruptions, he said.

Published on January 21, 2026

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IFSCA proposes risk controls & audit rules for algo trade in Gift City

by Hansraj Agrawal | Jan 21, 2026 | Business

The paper also suggests that exchanges may impose charges per order for high OTR, discouraging order flooding. Persistent violations — occurring more than ten times in a rolling 30-day window — may result in suspension of proprietary trading privileges for the opening hour of the following session

Unveiling draft guidelines for algorithmic trading on IFSC stock exchanges in Gift city, the International Financial Services Centres Authority (IFSCA) has proposed measures like mandatory tagging of all algorithmic orders, “dummy filters” for securities without price bands, and financial penalties for excessive order-to-trade ratios to prevent runaway trades, ensure transparency, and safeguard market integrity.

In extreme cases, trading terminals of non-compliant participants may be suspended, states a “Consultation Paper on guidelines for Algorithmic trading on stock exchanges” made public by IFSCA on Friday. Algorithmic trading, also known as black-box trading, uses computer programs to execute trades at lightning speed. While it can boost efficiency, it carries risks such as market volatility, manipulation, and operational failures. To address these, the draft guidelines focus on three safeguards including robust risk controls on price, quantity, and order value; real-time monitoring and shutdown of dysfunctional algorithms; and penalties or trading suspensions for repeated OTR violations.

“Algorithmic trading poses potential risks to market stability and integrity… unchecked algorithms can cause systemic risks, such as flash crashes, affecting overall financial stability,” the paper notes. The draft guidelines that are now open for public and market participant consultation require stock exchanges to approve trading algorithms before deployment, conduct initial conformance tests, and continuously monitor trading activity.

Market participants must disclose their algorithms and exchanges can intervene in case of disorderly trading. These measures aim to combine transparency, accountability, and systemic risk mitigation, providing a globally aligned framework for high-speed trading in India’s IFSCs.

The paper also suggests that exchanges may impose charges per order for high OTR, discouraging order flooding. Persistent violations — occurring more than ten times in a rolling 30-day window — may result in suspension of proprietary trading privileges for the opening hour of the following session.

Both market participants and exchanges must conduct regular system audits while exchanges are required to periodically review surveillance arrangements to detect market manipulation or disruptions and implement improvements where needed.

Published on January 21, 2026

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IFSCA proposes risk controls & audit rules for algo trade in Gift City

by Hansraj Agrawal | Jan 21, 2026 | Business

The paper also suggests that exchanges may impose charges per order for high OTR, discouraging order flooding. Persistent violations — occurring more than ten times in a rolling 30-day window — may result in suspension of proprietary trading privileges for the opening hour of the following session

Unveiling draft guidelines for algorithmic trading on IFSC stock exchanges in Gift city, the International Financial Services Centres Authority (IFSCA) has proposed measures like mandatory tagging of all algorithmic orders, “dummy filters” for securities without price bands, and financial penalties for excessive order-to-trade ratios to prevent runaway trades, ensure transparency, and safeguard market integrity.

In extreme cases, trading terminals of non-compliant participants may be suspended, states a “Consultation Paper on guidelines for Algorithmic trading on stock exchanges” made public by IFSCA on Friday. Algorithmic trading, also known as black-box trading, uses computer programs to execute trades at lightning speed. While it can boost efficiency, it carries risks such as market volatility, manipulation, and operational failures. To address these, the draft guidelines focus on three safeguards including robust risk controls on price, quantity, and order value; real-time monitoring and shutdown of dysfunctional algorithms; and penalties or trading suspensions for repeated OTR violations.

“Algorithmic trading poses potential risks to market stability and integrity… unchecked algorithms can cause systemic risks, such as flash crashes, affecting overall financial stability,” the paper notes. The draft guidelines that are now open for public and market participant consultation require stock exchanges to approve trading algorithms before deployment, conduct initial conformance tests, and continuously monitor trading activity.

Market participants must disclose their algorithms and exchanges can intervene in case of disorderly trading. These measures aim to combine transparency, accountability, and systemic risk mitigation, providing a globally aligned framework for high-speed trading in India’s IFSCs.

The paper also suggests that exchanges may impose charges per order for high OTR, discouraging order flooding. Persistent violations — occurring more than ten times in a rolling 30-day window — may result in suspension of proprietary trading privileges for the opening hour of the following session.

Both market participants and exchanges must conduct regular system audits while exchanges are required to periodically review surveillance arrangements to detect market manipulation or disruptions and implement improvements where needed.

Published on January 21, 2026

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