The Indian rupee dropped to a record low on Friday to 93.12 against the US dollar, amid global supply chain disruptions due to escalating Middle East conflict. The domestic currency fell 0.55 per cent to 93.12, eclipsing its previous low of 92.63 on Wednesday.
The rupee has depreciated nearly 2 per cent since the West Asia tensions began. According to experts, the USD/INR pair is trading above the 92.8 level, indicating continued pressure on the rupee amid elevated crude prices and global risk aversion.
A sustained move above 93.00 could strengthen the upside bias, with resistance seen in the 93.20–93.40 range, while support is placed near 92.70 and 92.50–92.40 levels, said Ponmudi R, CEO of Enrich Money. Domestic equity markets, however, rebounded, with the Sensex rising over 900 points, or around 1 per cent, while the Nifty gained about 300 points, or 1.35 per cent.
Foreign institutional investors (FIIs) remained net sellers, offloading equities worth Rs 7,558.19 crore on Thursday, according to exchange data.Meanwhile, global oil prices traded lower after the US signalled a possible easing of sanctions on Iranian crude, as efforts intensified to secure shipping through the Strait of Hormuz.
Brent crude futures fell as much as 3.39 per cent to an intraday low of $104.96 per barrel, while US WTI crude futures traded 3.22 per cent lower at $92.47. The decline in oil prices followed comments by US Treasury Secretary Scott Bessent, who indicated that Washington may consider easing restrictions on Iranian oil already at sea to help cool global prices.
Despite the recent decline, crude prices have surged sharply amid geopolitical tensions. As the West Asia conflict entered its 21st day, Brent crude rose nearly 40 per cent, from $77.74 on March 2 to $108.65 on March 19.