The Indian rupee’s remarkable collapse continued as the USD/INR exchange rate jumped to a record high of 85.73. It has risen in the last eight consecutive weeks as odds of a more dovish Reserve Bank of India (RBI) coincided with a modestly hawkish Fed.

The Indian rupee dropped past 86 per U.S. dollar for the first time ever on Monday following a blowout U.S. jobs report that compounded the pressure from weak inflows and higher hedging activity.

Rupee hit a record low, crossing 86 against the US dollar on Monday, following stronger-than-expected US job data. The report hinted that the Federal Reserve might not reduce interest rates significantly this year,

The Indian rupee is poised to decline against the U.S. dollar at the open on Monday, dipping past the 86 level, after a blowout U.S. jobs report increased the likelihood that the Federal Reserve may not cut rates anytime soon.