Rupee Strengthens Against Dollar Amid Crude Oil Price Decline and Diplomatic Hopes

The Indian rupee strengthened by 20 paise against the US dollar on Tuesday, closing at 95.58 (provisional). This appreciation comes after a sharp decline in crude oil prices due to improved global risk sentiments and hopes of diplomatic talks to resolve the US-Iran war.

Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, attributed this gain to falling crude oil prices. He noted that the rupee is expected to trade with a positive bias on improved global risk sentiments and hopes of diplomatic talks to resolve the US-Iran war.

The dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 100.34, lower by 0.08%. Brent crude, the global oil benchmark, was trading lower by 1.14% at $99.20 per barrel in futures trade.