MUMBAI — The rupee weakened past the 95-per-dollar mark Thursday, hitting a record low as surging global crude oil prices and escalating U.S.-Iran tensions pressured the domestic currency.
The rupee touched an all-time low of 95.07 in early trade and later slipped to an intraday low of 95.126 against the U.S. dollar. It weakened further to around 95.20 during the session.
The decline came as crude oil prices continued to climb on fears of prolonged supply disruptions. Brent crude hovered near $120 per barrel after jumping more than 6 percent Wednesday to its highest level since June 2022. On Thursday, Brent was trading around $114.10 per barrel, up about 3 percent from the previous close.
U.S. West Texas Intermediate crude also traded above $107 and was last seen at $110.28 per barrel, up about 3 percent.
The rupee was also pressured by hawkish signals from U.S. Federal Reserve policymakers, which supported the dollar and pushed up U.S. bond yields. The Federal Reserve, led by Jerome Powell, kept benchmark interest rates unchanged at its latest policy meeting.
So far in 2026, the rupee has depreciated about 5.8 percent.
Oil prices have surged as the U.S. intensified pressure on Iran. Washington has signaled no easing of its naval blockade and has moved to seize tankers linked to Tehran, raising concerns about sustained disruption in global energy supplies.
U.S. President Donald Trump said he would not lift the naval blockade of Iran’s ports until a nuclear agreement is reached, while Iranian officials have shown no indication of backing down.
The weaker sentiment also hit domestic equities, with the Sensex and Nifty falling nearly 1 percent in early trade. (Source: IANS)
