Business
Rupee Weakens as Crude Prices, Geopolitical Risks Weigh on Sentiment
The Indian rupee weakened 7 paise to 95.40 against the US dollar in early trade on Thursday, pressured by elevated crude oil prices and persistent geopolitical uncertainties surrounding the US-Iran standoff.
The Indian rupee depreciated 7 paise to 95.40 against the US dollar in early trade on Thursday, weighed down by elevated crude oil prices and continuing geopolitical risks.
At the interbank foreign exchange market, the rupee opened at 95.40 against the US dollar, marking a decline of 7 paise from its previous close.
Forex traders said investor sentiment remained fragile amid the continuing US-Iran standoff, with uncertainty surrounding developments in the region adding pressure to financial markets.
According to traders, Iran has warned that the Strait of Hormuz could remain closed until 2029, while the US President has said that the strategic waterway is under US command.
Elevated crude oil prices are also contributing to pressure on the Indian currency, as higher oil prices can increase the country’s import costs and influence demand for foreign currency.
The rupee’s early movement reflects the combined impact of oil price pressures, geopolitical uncertainty and cautious investor sentiment in the foreign exchange market.