Rupee Opens Lower, Extends Four-Day Losing Streak Amid Regional Market Declines

Indian Rupee Falls Against US Dollar Amid Pressure from Rising Oil Prices

The Indian rupee opened lower against the US dollar on April 23, pressured by oil prices climbing back above $100 a barrel. This development underscores that the relief rally in the currency market has run its course.

The domestic currency opened 21 paise lower at 94 against the US dollar from its previous close of 93.79, marking a fourth consecutive session of decline. According to Finrex, the Brent oil prices are expected to put further pressure on the rupee today, opening near 93.85 with the Reserve Bank of India (RBI) allowing it to depreciate.

The pressure on the rupee is primarily driven by oil companies' buying of US dollars to fulfill the country's daily needs for oil and other petroleum products, as well as fertilizers requirements. Finrex noted that the rupee may touch 94 levels today as oil companies continue to buy US dollars for their daily requirements of about $500-600 million.

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Asian currencies traded on a weaker note on Thursday, with the Indonesian Rupiah leading the declines, falling 0.7%. Other currencies, including the Philippine Peso (down 0.5%), the Thai Baht (down 0.4%), and the Malaysian Ringgit (down 0.2%), also slipped in value.

The dollar wobbled near a 1-1/2-week high due to the ongoing standoff between Iran and the US in the Middle East and the lack of progress in peace talks, which pulled oil prices back above $100 per barrel, weighing on investor sentiment.

Currency Comparison

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Note: The currency comparison table shows the previous and current closes, as well as the percentage change, for the mentioned currencies.