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The Indian rupee plunged to a record low of Rs 95.33 on Thursday as investors grew increasingly concerned about the economic risks posed by a sharp surge in crude oil prices to 2022 highs. The surge in oil to $125 and above levels has raised fears over India’s inflation-growth balance, given its dependence on energy imports, while also weighing on capital flows.The rupee weakened to 95.33 per dollar, falling as much as 0.5% during the session and surpassing its previous record low of 95.21 touched in late March. The recent decline has erased gains driven by the central bank’s currency-supportive…
West Texas Intermediate (WTI), futures on NYMEX, gives up its early gains after posting a fresh over seven-week high at around $107.35 and flattens to near $104.85 during the European trading session on Thursday.The Oil price is broadly upbeat as United States (US) President Donald Trump has warned of a prolonged blockade on Iranian sea ports after rejecting Iran’s proposal, which consisted of the reopening of the Strait of Hormuz, a vital passage to almost 20% global energy supply, Bloomberg reported. Trump added that the naval blockade of Iran will continue until Washington secures a deal with Tehran to address…
The Indian rupee fell to a record low on Thursday, as investors fretted over the economic risks confronting India from a resurgence in crude oil prices to 2022 highs, threatening the inflation-economic growth balance for the net energy importer and sapping capital flows.The currency fell to 95.3250, down 0.5% on the day, eclipsing its previous all-time low of 95.21 hit in late March.Oil-sensitive Asian peers such as the Indonesian rupiah, Phillippine peso and Thai baht also weakened on Thursday, after Brent crude oil futures climbed to $126 per barrel, the highest in four years.The rupee’s fall has wiped out gains…
The rupee and Government Securities felt the impact of the US Fed’s decision to keep interest rates unchanged, with the former breaching the 95 to the US dollar mark for the first time since March 30, 2026, and the yield of the latter hardening about 6 basis points.The rupee (INR) opened almost 17 paise weaker at 95.01 per US dollar and is currently trading at an all-time low of 95.2475.In a note on the US Fed holding its policy rate unchanged at 3.5-3.75 per cent, Emkay Global Financial Services Ltd’s Chief Economist Madhavi Arora and Research Associate Harshal Patel said:…
The AUD/USD pair gains some positive traction during the Asian session on Thursday and recovers a part of the previous day’s heavy losses to the 0.7100 mark, or a two-week low.Expectations that the Reserve Bank of Australia (RBA) will stick to its hawkish stance counter China’s mixed official PMIs and turn out to be a key factor offering some support to the Australian Dollar (AUD). The US Dollar (USD), on the other hand, sticks to its positive tone near the highest level since April 13 on the back of persistent geopolitical uncertainties stemming from stalled US-Iran peace talks. Furthermore, diminishing…
The Indian rupee is set to encounter fresh headwinds on Thursday after hawkish signals from some Federal Reserve policymakers lifted the dollar and US bond yields, compounding pressure from an unabated rise in oil prices.The rupee is expected to open in the 94.90-94.95 range, traders said, after settling at 94.8450 on Wednesday.The currency is on course to log its third consecutive weekly decline, having wiped out nearly all of the gains made earlier in the month following rare central bank measures aimed at curbing excessive speculation.Overnight, the Fed left policy rates unchanged, but the decision was its most divided since…
Mumbai: The rupee ended at a record closing low of 94.85/$ Wednesday, pressured by high oil prices and a persistent dollar demand, despite the central bank’s best efforts to keep public oil companies beyond the spot dollar market. The rupee had previously closed at 94.54/$.”Higher oil prices are significantly increasing India’s import bill and inflation risks, limiting any meaningful recovery in the rupee. The currency is consistently facing selling pressure on rebounds, indicating a lack of support at stronger levels,” said Jateen Trivedi, research analyst – currency at LKP Securities.The Reserve Bank of India (RBI) stepped in the market to…
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $104.90 during the early Asian trading hours on Thursday. The WTI price climbs amid an escalating naval blockade of Iranian ports and the United Arab Emirates’ (UAE) shock withdrawal from the Organization of the Petroleum Exporting Countries (OPEC). US President Donald Trump said on Wednesday that he will continue the naval blockade of Iran until he secures a deal with Tehran to address the country’s nuclear program, per Bloomberg. Trump rejected proposals to reopen the vital waterway, declaring the economic strangulation more effective than military bombardment.Iran warned on Wednesday of “unprecedented military…
Dow Jones Industrial Average futures drifted lower through Wednesday’s session, trading close to 48.8K at the time of writing after rejecting levels above 49.3K during the prior day. The S&P 500 hovered around the flatline alongside the Nasdaq Composite, with traders holding back ahead of the Federal Reserve (Fed) decision later in the session and a heavy slate of mega-cap technology earnings due after the closing bell.Durable Goods beat keeps inflation watch liveMarch Durable Goods Orders rose 0.8% MoM, ahead of the 0.5% consensus and a sharp turnaround from the prior month’s 1.2% contraction. The core reading, Nondefense Capital Goods…
OCBC strategists Sim Moh Siong and Christopher Wong note USD/JPY stayed range-bound after a mildly hawkish Bank of Japan (BoJ) hold, as cautious guidance and high Oil prices erased initial Yen (JPY) gains. They sees sustained high Oil prices limiting downside below 158, while rallies into the 160s risk Ministry of Finance (MoF) intervention, and it maintains an end-2026 USD/JPY target of 155.High oil and MoF risk cap extremes”USD/JPY was choppy but ultimately went nowhere after the Bank of Japan delivered a mildly hawkish hold, keeping the policy rate at 0.75%.””Sustained high oil prices make a move below USD/JPY 158…