The rupee opened with a negative bias amid a strong dollar and rising U.S. treasury yields and depreciated 18 paise to 96.38 against the U.S. dollar as market sentiments continue to dampen amid simmering tensions between the U.S. and Iran.

Forex traders said rupee remains vulnerable to the rise in crude oil prices as also the closure of the Strait of Hormuz hampering its exports and imports to the Gulf countries.

At the interbank foreign exchange market, the rupee opened at 96.38 against the U.S. dollar, registering a fall of 18 paise from its previous close.

On Monday (May 18, 2026), the Indian rupee weakened further and closed at a record low of 96.20 against the U.S. dollar.

“The market’s biggest challenge right now is not just direction — it’s confidence. Until there is visible cooling in global tensions and stability in foreign flows, the rupee may continue trading under pressure with volatility staying elevated,” CR Forex Advisors MD Amit Pabari said.

Mr. Pabari further added that technically, 94.80–95.10 is expected to act as an important support zone for USD-INR. However, with no meaningful signs of easing in global risk factors, the pair now appears to be gradually shifting its focus toward the 97 mark.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 99.10, lower by 0.09% due to simmering Iran tensions.

Brent crude, the global oil benchmark, was trading down 1.91% at $109.96 per barrel in futures trade.

On the domestic equity market front, Sensex climbed 366.71 points to 75,706.88 in early trade, while the Nifty advanced 107.45 points to 23,760.

Foreign Institutional Investors remained net buyers for the third straight session, purchasing equities worth ₹2,813.69 crore on Monday (May 18, 2026), according to exchange data.

Meanwhile, a senior petroleum ministry official on Monday (May 18, 2026) said India has been purchasing Russian oil irrespective of U.S. sanctions waivers and will continue to do so based on commercial viability and energy security needs.

“Regarding the American waiver on Russia, I would like to emphasise that we have been purchasing from Russia earlier… before waiver also, during waiver also, and now also,” Sujata Sharma, joint secretary in the petroleum ministry, told reporters at a media briefing.

The rupee weakened further and fell to a record low of 95.73 (provisional) against the U.S. dollar on Thursday (May 14, 2026), amid a strong dollar and worries over inflation amid elevated energy prices.

Forex traders said the rupee is expected to trade with a negative bias amid inflation concerns and the strength of the U.S. dollar in the overseas market.

The West Asia crisis and the blockade of the Strait of Hormuz have disrupted crude petroleum imports into India. Also, the sharp rise in crude prices has made fuel imports costlier.

The rupee has become the worst-performing currency in Asia for the year, registering a loss of over 6% so far this year, as elevated crude oil prices, a strong dollar and concerns over the West Asia crisis weighed on investor sentiments, traders said.

At the interbank foreign exchange market, the rupee opened lower at 95.74 against the American currency.

In a volatile trade, the USD/INR pair witnessed an intra-day high of 95.61 and an all-time intraday low of 95.96 against the greenback before settling at 95.73 (provisional), down 7 paise from its previous close.

The rupee on Wednesday (May 13, 2026) slipped to an all-time low of 95.80 against the U.S. dollar, and settled at 95.66 against the greenback.

“We expect the rupee to trade with a negative bias amid inflation concerns and a strong dollar. Rising inflation in the U.S. dimmed expectations of a rate cut by the Fed,” said Anuj Choudhary, Research analyst at Mirae Asset ShareKhan.

Mr. Choudhary said geopolitical tensions between the U.S. and Iran and foreign fund outflows may also pressurise the rupee.

However, any intervention by the RBI and import duty hike on gold and silver may support the rupee at lower levels. USD/INR spot price is expected to trade in a range of 95.50 to 96.10, Mr. Choudhary added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.51, down 0.01%.

Brent crude, the global oil benchmark, was trading higher by 0.50% at $106.16 per barrel in futures trade.

On the domestic equity market front, Sensex jumped 789.74 points to settle at 75,398.72, while the Nifty climbed 277 points to 23,689.60.

Foreign Institutional Investors offloaded equities worth ₹4,703.15 crore on Wednesday (May 13, 2026), according to exchange data.

On the domestic macroeconomic front, wholesale price inflation shot up to a 42-month high of 8.3% in April on the back of a spike in energy prices that followed the disruptions caused by the West Asia conflict.

Wholesale price index (WPI) inflation was 3.88% in March, while it was 0.85% in April last year.

“Positive rate of inflation in April 2026 is primarily due to an increase in prices of mineral oils, crude petroleum & natural gas, basic metals, other manufacturing and non-food articles, etc,” data released by the commerce and industry ministry showed.

The rupee depreciated 28 paise to 94.77 against the U.S. dollar in early trade on Thursday (May 7, 2026) as market sentiment took a dramatic turn after reports emerged that the U.S. and Iran are discussing a 14-point Memorandum of Understanding (MOU) aimed at reducing tensions and reopening negotiations.

Forex traders said Brent oil prices, which had fallen to $98 on the U.S.-Iran peace deal, edged slightly higher to $101 per barrel after investors weighed the prospects for a West Asia peace deal.

Moreover, factors such as unabated foreign capital outflows amid rising geopolitical uncertainties further dented investor sentiment.

At the interbank foreign exchange market, the rupee opened at 94.77 against the U.S. dollar, registering a fall of 28 paise over its previous close.

On Wednesday (May 6, 2026), the rupee appreciated 69 paise to close at 94.49 against the U.S. dollar.

“Markets are currently focused on the critical 48-hour window during which the U.S. expects Tehran’s formal response through Pakistani mediators,” said CR Forex Advisors MD Amit Pabari.

U.S. President Donald Trump on Wednesday (May 6, 2026) threatened Iran with more bombing if it doesn’t reopen the Strait of Hormuz, amid a report that the warring sides were nearing an agreement to end the war.

U.S. media outlet Axios reported, quoting U.S. officials and two other sources, that the U.S. and Iran were getting close to a one-page memorandum of understanding to end the war and set a framework for more detailed nuclear negotiations.

The U.S. expects Iranian responses on several key points over the next 48 hours, Axios reported, adding that nothing has been agreed yet. This was the closest the parties had been to an agreement since the war began.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.01, down 0.01%.

Brent crude, the global oil benchmark, was trading higher by 0.65% at $101.83 per barrel in futures trade.

On the domestic equity market front, the 30-share benchmark index Sensex declined 160.24 points to 77,798.28 in early trade, while the Nifty was down 30.25 points to 24,300.70.

Foreign Institutional Investors offloaded equities worth ₹5,834.90 crore on Wednesday (May 6, 2026), according to exchange data.

On the domestic macroeconomic front, the country’s goods and services exports rose 4.6% to an all-time high of $863.11 billion during 2025-26, up from $825.26 billion in 2024-25, despite global economic uncertainties, according to revised commerce ministry data.

Merchandise exports grew 0.93% to $441.78 billion in the last fiscal year from $437.70 billion in 2024-25, the data showed.

The rupee depreciated 11 paise to 94.95 against the U.S. dollar in early trade on Monday (May 4, 2026) as the ongoing tensions in West Asia continue to keep markets on edge.

Forex traders said Brent oil is hovering near $108, maintaining pressure on oil-importing economies like India.

Moreover, factors such as unabated foreign capital outflows amid rising geopolitical uncertainties dented investor sentiments further.

At the interbank foreign exchange market, the rupee touched 94.95 against the U.S. dollar in initial trade, registering a fall of 11 paise over its previous close.

On Thursday (April 30, 2026), the rupee had settled at 94.84 against the American currency.

Stock exchanges and currency markets were closed on Friday (May 1, 2026) on account of Maharashtra Day.

“The ongoing tensions in West Asia continue to keep markets on edge. On one side, U.S. President Donald Trump hinted that Tehran’s peace proposal may not be enough, keeping uncertainty alive. That’s one reason why Brent crude is hovering near $108, maintaining pressure on oil-importing economies like India,” said CR Forex Advisors MD Amit Pabari.

On the other hand, the U.S. has indicated it may help guide neutral ships through the Strait of Hormuz, a move that could ease supply concerns slightly. So markets are stuck between fear and hope, and that confusion is reflected in currencies, Mr. Pabari added.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.19, up 0.03%.

Brent crude, the global oil benchmark, was trading higher by 0.34% at $108.54 per barrel in futures trade.

Meanwhile, market participants are awaiting the election results in five states and one Union Territory in India.

“Currency markets usually don’t react sharply to state elections like the one in West Bengal. However, they do respond to sentiment, and even a slight shift in investor confidence or political stability can have a marginal but noticeable impact on the rupee,” Mr. Pabari added.

On the domestic equity market front, the 30-share benchmark index Sensex jumped 657.80 points to 77,571.30 in early trade, and the Nifty climbed 213.35 points to 24,215.10.

Foreign Institutional Investors offloaded equities worth ₹8,047.86 crore on Thursday (April 30, 2026), according to exchange data.

Meanwhile, Expenditure Secretary V Vualnam on Friday (May 1, 2026) said the upcoming few quarters and the coming year would possibly have a “lot of stress points”.

“The fiscal stress is indeed very much a reality, but at the same time… the capex would really be a priority item, which we would like to preserve and ensure that it continues at the budgeted level,” Mr. Vualnam said at the ICPP Growth Conference organised by the Ashoka University.

The rupee depreciated 24 paise to 94.39 against the U.S. dollar in early trade on Tuesday (April 28, 2026), weighed down by elevated crude oil prices and month-end dollar demand amid a broader shift toward safe-haven assets.

Forex traders said Brent oil continued to move higher at $109 per barrel, keeping India’s position vulnerable.

Moreover, factors such as unabated foreign capital outflows amid rising geopolitical uncertainties dented investor sentiments further.

At the interbank foreign exchange market, the rupee opened at 94.35 against the U.S. dollar, then lost some ground and touched 94.39 against the U.S. dollar in initial trade, registering a fall of 24 paise over its previous close.

On Monday (April 28, 2026), the rupee had settled at 94.15 against the American currency.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 98.49.

Brent crude, the global oil benchmark, was trading higher by 0.99 per cent at $109.30 per barrel in futures trade.

“The Indian rupee seems to be standing at a crossroads, not weak enough to fall, not strong enough to rise”, said CR Forex Advisors MD Amit Pabari.

Meanwhile, Goldman Sachs has raised its oil price forecast to $94.39 per barrel, while trimming India’s 2026 growth forecast to 5.9%.

“When growth expectations soften at the same time, it reduces the cushion the currency usually enjoys,” Mr. Pabari added.

According to Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP, rising crude oil prices are keeping India’s position vulnerable.

“We have come to the end of the month, and the month-end demand could keep USD higher in the coming two days,” Mr. Bhansali added.

On the domestic equity market front, the 30-share benchmark index Sensex was trading 68.28 points or 0.09% lower at 77,235.35, while the broader Nifty was trading up 14.25 points or 0.06% at 24,029.25.

Foreign Institutional Investors offloaded equities worth ₹1,151.48 crore on Monday (April 27, 2026), according to exchange data.

The rupee depreciated 32 paise to an all-time low of 89.85 against the U.S. dollar in early trade on Tuesday (December 2, 2025), weighed down by the broad strength of the American currency in overseas markets and persistent foreign fund outflows.

Forex traders said strong dollar demand from corporates, importers and foreign portfolio investors pressurised the rupee. Moreover, elevated crude oil prices further dented investor sentiments.

At the interbank foreign exchange, the rupee opened at 89.70 against the U.S. dollar before dropping to record low level of 89.85, down 32 paise from its previous close.

On Monday (December 1, 2025), the rupee after sinking to 89.79 in intraday trade, settled at 89.53 against the U.S. dollar.

“The Reserve Bank of India (RBI) has been selling dollars in the market, but it has also bought dollars when Indian rupee rose thus keeping the demand intact,” said Anil Kumar Bhansali, head of treasury and executive director Finrex Treasury Advisors LLP.

Mr. Bhansali further noted that, the fundamentals of the Indian economy like a high Gross Domestic Product (GDP) growth of 8.2% have been overweighed by the dollar demand.

“The uncertainties surrounding the India-U.S. trade deal have not helped the matters and have actually aggravated the dollar buying syndrome,” Mr. Bhansali said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 99.41.

Brent crude, the global oil benchmark, was trading lower by 0.03% at $63.15 per barrel in futures trade. On the domestic equity market front, the benchmark sensitive index Sensex declined 223.84 points or 0.26% at 85,418.06, while the Nifty was trading lower by 59 points or 0.23% at 26,116.75.

Foreign Institutional Investors (FIIs) sold equities worth ₹1,171.31 crore on Monday (December 2, 2025), according to exchange data.

The rupee stayed weak trading 2 paise lower at 89.24 against the U.S. dollar in early trade on Thursday (November 27, 2025) due to increased demand of American currency from importers amid volatile global trade.

According to forex traders, the rupee found support from fresh inflow of foreign capital into domestic stock markets and lower crude oil prices in the international market.

At the interbank foreign exchange market, the rupee opened at 89.19 and lost further to trade at 89.24 against the greenback in initial deals, down 2 paise from its previous closing level.

The rupee settled flat at 89.22 against the greenback on Wednesday (November 26, 2025).

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was 0.09% lower at 99.43.

Brent crude, the global oil benchmark, fell 0.43% to $62.86 per barrel in futures trade.

On the domestic equity market front, the Sensex rose 305.82 points or 0.36% to 85,915.33 in early trade while Nifty went up 69.15 points or 0.26% to 26,274.45.

Foreign institutional investors (FIIs) purchased equities worth ₹4,778.03 crore on a net basis on Wednesday (November 26), according to exchange data.