Indian rupee weakens amid oil price surge and geopolitical tensions. The rupee declined to 93.8450 per dollar on Wednesday, its weakest level since March, before recovering slightly to 93.75 as rising crude prices above $98 per barrel pressured oil-sensitive Asian currencies. The Reserve Bank of India likely intervened through dollar selling to limit volatility and support the currency. Uncertainty surrounding the Iran conflict and the U.S. Navy's continued blockade of Iranian trade kept energy markets volatile. Regional equities also faced headwinds with India's Nifty 50 index declining 0.8% and Asia Pacific stocks falling 0.7%. Forward premiums drifted higher as importers increased hedging activity, while banks remained cautious on NDF contracts following recent regulatory restrictions.
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