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Rupee falls to 95.28 as oil and US yields pressure currency
The rupee fell 6 paise to 95.28 against the US dollar in early trade on Friday, after opening at 95.27. It had declined 14 paise to 95.22 in the previous session. The…
The Story in Brief
The rupee fell 6 paise to 95.28 against the US dollar in early trade on Friday, after opening at 95.27. It had declined 14 paise to 95.22 in the previous session. The dollar index rose 0.02% to 99.95, while Brent crude gained 1.2% to $83.48 a barrel in futures trade. Higher US Treasury yields, importer demand and profit-taking after the rupee’s recent gains also weighed on the currency, according to The Times of India and The Hindu.
LiveMint reported that traders were watching the US July jobs report for clues on Federal Reserve policy. It said geopolitical concerns around shipping through the Strait of Hormuz had lifted oil prices. Domestic equities weakened, with the Sensex down 235 points and the Nifty down 24 points in early trade.
The Indian Opinion
Claims that one morning’s move proves a currency crisis are as lazy as dismissing oil and US rates as temporary noise. The rupee’s direction depends on imported energy costs, dollar demand and how actively the RBI smooths volatility. The immediate test is whether Brent stays near $83 and whether the rupee holds the 95.00 to 95.10 range identified by CR Forex Advisors. A sustained break below it would matter more than Friday’s six-paise move.
Sources (3): timesofindia.indiatimes.com, livemint.com, thehindu.com
This story was synthesised by AI from the 3 sources linked above.
Updated: this story now draws on 3 sources.
