India’s rupee experienced a downturn, closing at 86.34 against the US dollar – a 30 paise decline. This weakening is primarily attributed to a surge in global crude oil prices, adding to existing pressures from the volatile geopolitical situation in the Middle East.

The strengthening US dollar also played a significant role in the rupee’s fall. A lackluster performance in the domestic equity market further contributed to the downward trend. Despite this bearish market sentiment, foreign institutional investors (FIIs) showed a degree of confidence, injecting a net investment of Rs 1,482.77 crore into Indian equities.

The interplay of rising oil costs, geopolitical instability, and a stronger dollar created a perfect storm for the Indian currency. While FII investment offers a glimmer of hope, the overall outlook remains closely tied to global events and the performance of domestic markets.