Rupee slips 19 paise to 93.10 against US dollar amid rising market volatility

The Indian rupee ended lower on Monday, slipping 19 paise to 93.10 (provisional) against the US dollar , amid heightened geopolitical uncertainty in West Asia, volatile crude oil movements, and sustained safe-haven demand for the dollar.

At the interbank foreign exchange market , the rupee opened stronger at 92.73 and briefly touched an intra-day high of 92.70 . However, it reversed gains sharply during the session, falling to a low of 93.24 before settling at 93.10.

Forex traders said the currency’s movement reflected strong dollar demand from importers and banks , which outweighed early gains.

Sentiment remained fragile due to ongoing tensions around the Strait of Hormuz , where conflicting reports of partial reopening and renewed disruptions have kept global energy markets on edge. The uncertainty has triggered sharp swings in crude oil prices, with Brent crude fluctuating around the mid-$90 per barrel range after intraday spikes above 5 per cent .

The US dollar index strengthened to near one-week highs around 98.3–98.4 , reinforcing pressure on emerging market currencies, including the rupee.

Despite global volatility, domestic equities showed resilience, with Foreign Institutional Investors (FIIs) remaining net buyers for the third consecutive session , providing some support to market sentiment.

Market participants expect the USD-INR pair to trade in a broad range of Rs 93 to Rs 93.60 , with bias dependent on oil price direction and developments in West Asia.

Meanwhile, earlier stability in the currency was partly supported by Reserve Bank of India (RBI) measures and forex position management steps , which continue to act as a buffer against excessive volatility.

Domestic markets closed marginally higher, with the Sensex rising 26.76 points to 78,520.30 and the Nifty gaining 11.30 points to 24,364.85 , amid cautious global cues.