Rupee Opens 33 Paise Stronger At 95.48 As Oil Price Easing Supports Currency

The Indian rupee opened 33 paise stronger at 95.48 per U.S. dollar on Tuesday, June 9, compared with the previous close of 95.71, supported by easing crude oil prices after a pause in Iran-Israel hostilities, which reduced pressure on the greenback.

Invest in Indian Markets and Unlock Future Potential With 5paisa!

Open Account Now

Rupee Opens Higher On Oil Price Relief

The domestic currency strengthened at the opening bell as crude oil prices weighed on the dollar demand outlook. According to the provided data, the rupee had earlier fallen in the previous session due to liquidation of non-deliverable forward (NDF) positions by the Reserve Bank of India (RBI), along with oil-related demand and foreign portfolio investor (FPI) dollar buying. FPIs reportedly sold $ amounting to ₹5,500 crore, as per Finrex.

The rupee movement reflects continued volatility driven by external factors, particularly crude oil fluctuations and foreign fund flows.

Trading Range And RBI Support Levels

Following the RBI’s recent circular, Finrex expects the rupee to open near 95.40 per dollar and trade in a range of 95.00 to 95.85 during the session. The brokerage noted that the central bank is likely to provide support around the 95.80 level.

At the same time, dollar demand from oil companies and FPIs may re-emerge on dips in the greenback, potentially limiting sharp appreciation in the rupee, as per Finrex.

Exporter And Importer Strategy Outlook

Finrex advised exporters to continue hedging and consider selling dollars in the 95.75–95.80 range. Importers, on the other hand, have been advised to consider buying on dips closer to the 95.00 mark, reflecting expectations of range-bound movement in the currency.

Asian Currencies Trade Mostly Higher

Most Asian currencies traded higher against the U.S. dollar in early trade. The South Korean won was the strongest performer, gaining 0.346% from the previous close.

The Malaysian ringgit rose 0.167%, while the Chinese renminbi advanced 0.072%. The Philippine peso increased 0.049%, Thai baht gained 0.040%, Taiwan dollar rose 0.041%, and the Singapore dollar edged up 0.023%.

However, some regional currencies weakened. The Japanese yen slipped 0.044%, while the Indonesian rupiah declined 0.836%.

Dollar Holds Near Two-Month High

The U.S. dollar remained close to a two-month high on Tuesday, strengthening against most major currencies as geopolitical uncertainty in the Middle East weighed on risk sentiment. Traders also increased bets on a potential Federal Reserve rate hike later this year.

Among major currencies, the euro stood at $1.1528, while the British pound was at $1.3335. Both currencies were down about 0.05% in Asian trade after touching two-month lows in the previous session.

The Australian dollar slipped 0.1% to $0.7039, while the New Zealand dollar was at $0.5804.

The Japanese yen weakened further to as much as 160.295, continuing to hover near the 160 level, which is widely monitored as a potential zone for official intervention.

The currency market remained focused on global risk sentiment, oil price trends, and central bank policy expectations, with rupee movement staying sensitive to both domestic and external triggers in early trade.