Mumbai, March 20: The Indian rupee has reached an all-time low of 93.12 against the US dollar on Friday. This marks the first time the domestic currency has crossed the 93 mark against the American dollar.
The rupee depreciated by 0.55 percent, closing at 93.12, compared to 92.63 on Wednesday. The ongoing tensions in the Middle East, particularly the conflict between Iran and the US, have put significant pressure on the domestic currency, which has fallen nearly 2 percent since the escalation of hostilities.
Experts suggest that the rupee is trading above the 92.8 level, indicating persistent pressure due to high crude oil prices and a global trend of risk aversion. Ponmudi R, CEO of Enrich Money, stated that a sustained rise above 93.00 could strengthen bullish sentiment, with resistance levels at 93.20-93.40 and support levels at 92.70 and 92.50-92.40.
Despite the rupee’s decline, domestic stock markets are witnessing gains, with the Sensex rising by over 900 points, or nearly 1 percent, and the Nifty increasing by approximately 300 points, or 1.35 percent.
Foreign institutional investors (FIIs) continue to sell off, with reports indicating an equity withdrawal of ₹7,558.19 crore on Thursday.
However, there is a noted decrease in crude oil prices. As of the time of writing, WTI crude is down 1.67 percent at $93.65 per barrel, while Brent crude has fallen by 1.20 percent to $107.3 per barrel.
The drop in oil prices follows comments from US Treasury Secretary Scott Basant, who suggested that Washington might consider easing sanctions on Iranian oil to help reduce global prices.
Despite the recent decline, geopolitical tensions have led to a sharp rise in crude oil prices. As the conflict in West Asia enters its 21st day, Brent crude has surged nearly 40 percent, rising from $77.74 per barrel on March 2 to $108.65 per barrel on March 19.
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My name is Himanshu Tiwari. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including TECHNOLOGY, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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