The rupee fell 39 paise to 95.77 against the American currency in early trade on Monday (July 13, 2026) weighed down by elevated crude oil prices.

Forex traders said with Brent oil prices rising over $79 a barrel, the Indian rupee is expected to open weaker at 95.53 levels after Iran declared the Strait of Hormuz as closed.

At the interbank foreign exchange market, the rupee opened at 95.72, then touched 95.77 against the U.S. dollar, registering a loss of 39 paise from its previous close.

On Friday (July 10, 2026), the rupee rose 9 paise to settle at 95.38 against the U.S. dollar.

“The renewed fighting between the US and Iran revived fears of a major disruption to global Crude supplies,” 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 101.12, up 0.17%.

Meanwhile, Brent crude, the global oil benchmark, was trading higher by 4.05% at $79.09 per barrel in futures trade.

“Brent oil prices rose by more than 4% this Monday morning, rising to $79.25 per barrel as Iran announced the closure of the Strait of Hormuz. The latest rally came after Iran on Sunday expanded missile and drone attacks to Gulf states and the UAE in retaliation for U.S. strikes,” Mr. Bhansali added.

On the domestic equity market front, Sensex tanked 616.15 points to 76,946.97 in early trade, while the Nifty dropped 190.50 points to 24,015.

Foreign institutional investors purchased equities worth ₹2,603.72 crore on a net basis on Friday (July 10, 2026), according to exchange data.

On the domestic macroeconomic front, the Reserve Bank of India on Friday (July 10, 2026) said the country’s forex reserves jumped USD 7.26 billion to USD 674.193 billion during the week ended July 3.

In the previous reporting week, the forex kitty had dropped by U$5.654 billion to $666.933 billion.

The rupee consolidated in a narrow range to settle just 3 paise higher at 87.72 (provisional) against the U.S. dollar on Tuesday (August 12, 2025) amid a negative trend in domestic equities.

Forex traders said the rupee is trading in a tight range as a late decline in domestic markets and foreign fund outflows capped sharp gains for the domestic unit.

Moreover, there is an overall negative bias amid uncertainties over the trade tariff issue between India and the U.S.

At the interbank foreign exchange, the domestic unit opened at 87.70 and moved in a range of 87.59-87.72 during the day before settling at 87.72 (provisional), just 3 paise higher than its previous close.

On Monday (August 11, 2025), the domestic unit closed at 87.75 against the U.S. dollar.

Investors are in a wait-and-watch mode ahead of the U.S. CPI inflation data and are also awaiting cues from the U.S.-Russia talks on August 15, traders said.

“We expect the rupee to trade with a negative bias on account of the ongoing trade tariff war between India and the U.S. Sustained FII outflows may also pressurise the rupee.”

“However, weakness in the U.S. Dollar and declining crude oil prices may support the rupee at lower levels. Investors now focus on the U.S. and Indian inflation data this week. USD/INR spot price is expected to trade in a range of 87.40 to 87,” said Anuj Chaudhary, Research Analyst Commodities and Currencies, Mirae Asset Sharekhan.

Meanwhile, Brent crude prices rose 0.41% to $66.70 per barrel in futures trade.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, advanced 0.04% to 98.55.

On the domestic equity market front, Sensex dropped 368.49 points to settle at 80,235.59, while Nifty declined 97.65 points to close at 24,487.40.

Foreign Institutional Investors offloaded equities worth ₹1,202.65 crore on Monday (August 11, 2025), according to exchange data.