Rupee Plunges Amid Oil Price Spike and Geopolitical Tensions

The Indian rupee fell sharply against the US dollar on Thursday, settling at 95.96 (provisional) after a 23-paise decline.

This drop was largely attributed to rising crude oil prices and a strong greenback due to geopolitical uncertainties.

Aamir Makda, Commodity & Currency Analyst at Choice Broking, noted that the rupee's decline is compounding recent losses under pressure from surging Brent crude oil prices and a robust US dollar.

The dollar index traded at 100.99, up 0.18%, while Brent crude futures climbed 2.74% to USD 105.90 per barrel.

This surge in oil prices is attributed to the lack of diplomatic progress over West Asia peace efforts, with President Donald Trump threatening to 'annihilate' Iran if a deal couldn't be made at the UN General Assembly.