Mumbai

The Indian rupee weakened by 32 paise to close provisionally at 93.48 against the US dollar on Tuesday, pressured by a firm American currency and fluctuations in crude oil prices amid uncertainty surrounding West Asia peace talks.

Despite gains in domestic stock markets, the local currency remained under pressure. Market analysts also pointed to the Reserve Bank of India’s latest relaxation of curbs on speculative positions in non-deliverable forward markets as a factor influencing sentiment.

The central bank had earlier imposed restrictions on April 1 to limit excessive speculation in the rupee by capping banks’ net open positions in such markets at USD 100 million. On Monday, it partially eased those directives while retaining certain restrictions and the position cap.

In the interbank foreign exchange market, the rupee opened at 93.25, touched an intraday low of 93.63, and finally settled at 93.48 against the greenback. On Monday, it had closed at 93.16 after losing 25 paise.

Anuj Choudhary said uncertainty over US-Iran negotiations, higher crude prices and a stronger dollar weighed on the rupee, though positive global markets helped limit losses. He added that traders would watch upcoming US retail sales and employment data for further cues.

The US Dollar Index, which tracks the dollar against a basket of six major currencies, rose 0.19 per cent to 98.09.

Meanwhile, Brent Crude was trading 0.70 per cent lower at USD 94.81 per barrel in futures trade, though oil markets remained volatile due to concerns over possible supply disruptions through the Strait of Hormuz.

The ceasefire arrangement between the United States and Iran is set to expire on Wednesday, adding to market anxiety. Reports said Iran’s negotiator ruled out talks under threats, while Donald Trump indicated no urgency to end the conflict.

In Indian equities, the BSE Sensex climbed 753.03 points, or 0.96 per cent, to close at 79,273.33, while the Nifty 50 rose 211.75 points, or 0.87 per cent, to 24,576.60.

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Foreign Institutional Investors sold shares worth approximately Rs 1,059.93 crore on Monday, according to exchange data.