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The rupee depreciated 25 paise to 95.33 against the U.S. dollar in early trade on Thursday (September 11, 2026) as Brent crude price crossed the $100 mark sharply increasing concerns over India’s import bill.
Forex traders said elevated crude oil prices and persistent dollar demand also weighed on investor sentiments.
In the interbank foreign exchange market, the rupee opened at 95.15 against the U.S. dollar, then fell to 95.33, down 25 paise from its previous close.
On Wednesday (September 9, 2026), the rupee slumped 34 paise to close at 95.08 against the American currency.
“Rupee’s move beyond the psychologically important 95 level also triggered some additional dollar demand and stop-loss activity. However, the decline was contained by RBI intervention,” said Anil Kumar Bhansali, head of treasury and executive director Finrex Treasury Advisors LLP.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.72, lower by 0.09%.
Brent crude, the global oil benchmark, was trading marginally lower by 0.23% at $ 100.98 per barrel in futures trade, amid escalating U.S.-Iran tensions and fears of disruption to oil flows through the Strait of Hormuz.
“For an economy that imports nearly 90% of its crude, every $10 rise in oil can add roughly $12–15 billion to the annual import bill, putting further pressure on the current account and the rupee. With FCNR-related dollar inflows no longer available to offset this pressure, sustained high oil prices could weigh more heavily on the currency,” CR Forex Advisors MD Amit Pabari said.
The rupee is entering a phase where the temporary support from FCNR-related flows has largely faded, while global headwinds are becoming stronger.
“The break above 95.00 is technically significant. The expectation is that if USD/INR sustains above 95, the probability of a move towards 95.50 has increased, followed by 96.00 if the momentum continues,” Pabari added.
On the domestic equities market front, Sensex was trading marginally up by 38.07 points to 74,809.95 in early trade, while the Nifty was higher by 9.85 points to 23,439.20.
Foreign Institutional Investors (FIIs) offloaded equities worth ₹582 crore on a net basis on Wednesday (September 9, 2026), according to exchange data.
Published – September 10, 2026 11:33 am IST
