Rupee Falls as Brent Crude Surges Past $97
The Indian Rupee depreciated by 10 paise to 94.66 against the US Dollar in early trade on Tuesday, as surging Brent crude prices near USD 97/bbl and Middle Eastern geopolitical friction dampened investor confidence.
RBI dollar sales and strong foreign-currency inflows under special schemes helped keep the Rupee range-bound despite heavy external pressures.
The RBI's intervention has been particularly important in preventing higher oil prices from translating into a weaker rupee, according to Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP.