Rupee Slumps to New Low Amid Oil Price Surge and Dollar Demand

The Indian Rupee continued its downward trend on Tuesday, hitting a new low of 95.68 against the US Dollar due to elevated crude oil prices and strong demand for the greenback.

Brent crude rose above $91 per barrel, increasing dollar-related oil demand and fueling concerns about future inflows of dollars into the country.

Anil Kumar Bhansali, Head of Treasury and Executive Director at Finrex Treasury Advisors LLP, stated that the Rupee 'looks vulnerable to the rising oil prices which have remained close to USD 90 and have now risen above USD 91 per barrel.'

The dollar index, which measures the greenback's strength against a basket of six currencies, was trading at 99.63, down 0.01%.