Rupee Plunges as Oil Prices Soar Amid Middle East Tensions
The Indian rupee depreciated significantly on Tuesday, closing at 95.92 against the US dollar due to escalating Middle East tensions and soaring Brent crude oil prices.
Brent crude prices rose over 2% to trade above $108 a barrel after Saudi Arabia closed a critical pipeline following a drone attack, fueling fears of a tightening oil market.
The surge in oil prices has sparked concerns over inflation and India's external trade balance as surging dollar demand from oil importers weighs on the rupee.