Rupee Trades Flat as RBI Hopes Eases Oil Price Fears

The Indian Rupee closed flat at 95.95 against the US dollar on Tuesday, supported by potential RBI intervention and hopes of easing oil prices through US-Iran talks.

Although the rupee gained 2 paise, strong US dollar demand from importers and a stronger greenback capped its gains, said forex traders.

The Reserve Bank of India (RBI) is likely to intervene as the rupee approaches the psychologically important 96 level against the American currency, they added.

Analysts expect volatility in the rupee due to global risk aversion, crude oil prices, and upcoming US economic data, said Anuj Choudhary of Mirae Asset Sharekhan.