Rupee Hits New Low Amid Crude Price Surge and Tensions in the Middle East

The Indian rupee has fallen to around Rs 95.7 against the US dollar for a fourth consecutive day, driven by a combination of surging crude oil prices, stronger US Treasury yields, sustained dollar demand, and foreign equity outflows.

Crude oil prices have risen sharply this week, with Brent touching $109.30 a barrel amid escalating tensions in the Middle East that threaten shipping routes and energy supplies.

'For India, which imports most of its crude requirements, an extended rise in oil prices could widen the import bill, increase demand for dollars, and put further pressure on the rupee,' said Devarsh Vakil, Head of Prime Research at HDFC Securities.