Rupee Sinks Against Dollar as Crude Prices Soar and Foreign Outflows Persist

The Indian rupee weakened by 20 paise against the US dollar on Monday, reaching 95.95 in early trade.

This decline was attributed to a combination of factors including a strengthening greenback, continued foreign fund outflows, and elevated crude oil prices.

Brent crude futures rose 2.31% to $106.81 per barrel, putting additional pressure on the currency.

Anil Kumar Bhansali, head of treasury at Finrex Treasury Advisors LLP, said Brent's price above $100 poses a threat to India's import bill and foreign exchange reserves.