The rupee has fallen again against the dollar. The impact of rising tensions in West Asia is now being felt on the Indian economy. Amid global uncertainties, the rupee remains under constant pressure and continues its decline against the US dollar.
The rupee opened at 92.42 in the interbank foreign exchange market on Wednesday and fell marginally to 92.43 per dollar during the day, showing a decline of three paise over its previous close.
What the experts say
According to experts, the ongoing conflict in West Asia is causing foreign investors to withdraw money from the Indian market, putting pressure on the rupee. High crude oil prices are also a major factor in the decline.
Mild softening of crude oil prices in the global market
However, a slight softening in international oil prices and a strengthening domestic stock market have somewhat contained the rupee's sharp decline. Both the Sensex and Nifty opened higher in early trade, but selling by foreign institutional investors continued.
The dollar index also strengthened slightly, putting additional pressure on the rupee. The rupee had previously hit a low of 92.47, reflecting its weak performance.
Market experts believe that global developments and decisions by major central banks will determine the rupee's direction in the coming days. For now, the rupee is expected to remain in the range of 92.10 to 92.75 per dollar.
