New Delhi, September 2: The Indian rupee ended Wednesday’s trading session at 94.97 (provisional) against the US dollar, slipping 2 paise from its previous close. The domestic currency remained largely range-bound as support from foreign capital inflows was offset by weak domestic equities and a stronger US dollar.
At the interbank foreign exchange market, the rupee opened at 94.97 and moved between an intraday high of 94.83 and a low of 94.99. Forex traders said the Reserve Bank of India is closely monitoring the currency’s movement amid elevated crude oil prices and renewed geopolitical tensions.
Brent crude, the global oil benchmark, rose 0.44 per cent to $95.07 per barrel in futures trade, amid concerns over possible disruptions to supplies through the Strait of Hormuz. Higher crude prices could put additional pressure on India’s import bill and the rupee.
The dollar index, which measures the greenback against six major currencies, was trading 0.14 per cent higher at 99.82. Expectations of a US Federal Reserve interest-rate hike in September have pushed US Treasury yields higher and supported the dollar.
The 10-year US Treasury yield climbed above 4.8 per cent, its highest level since January 2025, adding to global risk aversion.
Meanwhile, domestic equities also weighed on investor sentiment. The Sensex declined 373.93 points to 76,570.35, while the Nifty fell 141.35 points to 23,914.45.
Foreign institutional investors remained supportive, purchasing Indian equities worth ₹1,143.38 crore on a net basis on Tuesday.
Analysts expect the rupee to retain a slightly negative bias amid geopolitical risks, with USD-INR likely to trade between 94.70 and 95.25.
