Rupee Takes Hit as Crude Prices Surge Towards $98

The Indian rupee fell by 10 paise to 94.66 against the US dollar in early trade on Tuesday, amid rising crude prices and escalating tensions in the Middle East.

The rupee had opened at 94.49 against the dollar at the interbank foreign exchange market but later dropped to 94.66.

This decline followed a 13-paise fall on Monday, when the rupee settled at 94.56.

Brent crude oil prices climbed towards $97 a barrel, with Brent futures trading 0.63% higher at $97.61 per barrel in futures trade.

Despite these pressures, forex traders said the rupee remained range-bound due to RBI's dollar sales and strong foreign-currency inflows under special schemes.

Anil Kumar Bhansali, Head of Treasury and Executive Director of Finrex Treasury Advisors LLP, expects the rupee to trade between 94.00 and 94.75.