Indian rupee depreciated 11 paise to 94.95 against the US dollar in early Monday trade. Middle East tensions and elevated Brent crude near 108 dollars per barrel continue pressuring oil-importing economies like India. Foreign capital outflows amid geopolitical uncertainties have further dampened investor sentiment. The dollar index strengthened to 98.19, gaining 0.03 percent. Forex analysts note markets remain caught between fear and hope as US President Donald Trump signals skepticism toward Iran's peace proposal while simultaneously indicating potential assistance for neutral shipping through the Strait of Hormuz. Upcoming state election results may also influence currency market sentiment and investor confidence levels going forward.
