Mumbai: The rupee appreciated 15 paise to 95.28 against the US dollar in early trade on Tuesday on improved market sentiment after reports that Saudi Arabia has slashed August crude oil prices for Asia amid easing of geopolitical tensions in the Middle East.
Forex traders said lower Middle East risk premium and higher traffic from the Strait of Hormuz kept the oil prices lower.
At the interbank foreign exchange market, the rupee opened at 95.33 and later touched 95.28 against the American currency, registering a gain of 15 paise from its previous close.
At the interbank foreign exchange market, the Rupee opened at 95.25, then touched 95.28 against the U.S. dollar, registering a loss of 10 paise from its previous close. On Friday (July 3, 2026) the Rupee appreciated 17 paise to close at 95.18 against the U.S. dollar.
“The message from last week is simple. When the Rupee cannot rally on good news like falling oil and a softer dollar, it tells you the underlying mood is fragile. Any fresh negative trigger could push USD-INR towards the 95.80 to 96.00 zone, while support holds near 94.80 to 95.00,” CR Forex Advisors MD Amit Pabari said.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 100.95, up 0.10%.
The Rupee fell 10 paise to 95.28 against the U.S. dollar in early trade on Monday (June 29,2026) weighed down by the broad strength of the American currency in the overseas market.
Forex traders said whenever fresh foreign inflows enter the country, the Central bank is likely to use the opportunity to rebuild its reserve position rather than allowing the Rupee to strengthen too much.
Moreover, uncertainty prevailed over the progress of U.S.-Iran peace talks keeping a geopolitical risk premium in the market.
At the interbank foreign exchange market, the Rupee opened at 95.25, then touched 95.28 against the U.S. dollar, registering a loss of 10 paise from its previous close. On Friday (July 3, 2026) the Rupee appreciated 17 paise to close at 95.18 against the U.S. dollar.
“The message from last week is simple. When the Rupee cannot rally on good news like falling oil and a softer dollar, it tells you the underlying mood is fragile. Any fresh negative trigger could push USD-INR towards the 95.80 to 96.00 zone, while support holds near 94.80 to 95.00,” CR Forex Advisors MD Amit Pabari said.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading at 100.95, up 0.10%.
“The dollar index eased to around 100.90 as weak U.S. jobs data continued to weigh on it. Normally, a softer dollar is exactly what the Rupee needs to catch a breath. This time, it simply did not happen, and that is the part worth watching closely this week,” Mr. Pabari added.
Brent crude, the global oil benchmark, was trading lower by 0.58% at $71.70 per barrel in futures trade. On the domestic equity market front, Sensex climbed 281.40 points to 78,051.03 in early trade, while the Nifty rallied 74.60 points to 24,347.05.
Foreign institutional investors turned net buyers, purchasing equities worth ₹1,355.33 crore on a net basis on Friday (July 3,2026), according to exchange data.
