The Indian rupee depreciated to a two-week low of 86.27 against the US dollar, driven by a decrease in the Chinese yuan’s value and a surge in the dollar index. The surge in corporate dollar demand coincided with a rebound in the equity market, while the supply of dollars at the end of the year dried up. The yuan’s devaluation, a retaliatory measure against the US tariffs, exerted downward pressure on the rupee and other Asian currencies, leading to a historic low for the Indonesian rupiah.