On Monday, the rupee fell by 56 paise and closed at 93.39 (provisional) against the US dollar. The reason for this was that the failure of peace talks between America and Iran increased uncertainty in West Asia, which led to a rise in crude oil prices and increased demand for dollars across the world. According to foreign exchange analysts, the uncertainty over the opening of the ‘Strait of Hormuz’ after America’s announcement of blockade of Iran’s ports further intensified the withdrawal of foreign capital from the domestic stock markets, due to which the Indian currency weakened. According to experts, further decline may be seen in the currency market in the coming days. Let us also tell you at what level the rupee has closed against the dollar.
Rupee falls by 56 paise
At the interbank foreign currency exchange market, the rupee opened at 93.30 against the US dollar and fluctuated between a low of 93.40 and a high of 93.25 during the session. At the end of the session, the rupee closed at 93.39 (provisional) against the dollar, showing a fall of 56 paise from its previous close. On Friday, the rupee fell by 32 paise and closed at 92.83 against the US dollar. This means that the rupee has fallen by 88 paise against the dollar in two days. The foreign currency market will remain closed on Tuesday on the occasion of Baba Saheb Ambedkar Jayanti. This means that common investors will get some relief.
Will there be further decline?
Mirae Asset Sharekhan Research Analyst Anuj Chaudhary said the rupee declined due to risk-aversion in global markets after talks between the US and Iran failed over the weekend. The rise in crude oil prices and the strengthening of the dollar also put pressure on the rupee. Chaudhary said that the rising US dollar and rise in crude oil prices may put further pressure on the rupee. FIIs (foreign institutional investors) can also continue their selling from the capital markets. USD-INR spot price is expected to remain in the range of 93-93.80. According to US Central Command, the blockade will be enforced impartially against “ships of all nations” entering or leaving Iran’s ports and coastal areas. However, ships traveling between non-Iranian ports will be allowed to pass through the Strait of Hormuz.
a lot of turmoil in the market
Meanwhile, the dollar index—which measures the dollar’s strength against a basket of six currencies—increased 0.32 percent to 98.75. Global oil benchmark Brent crude was trading 7.69 percent higher at $102.52 per barrel in futures trade. The surge came after the US announced it would block Iran’s ports from Monday. Talking about the domestic equity market, Sensex fell 702.68 points or 0.91 per cent to close at 76,847.57, while Nifty fell 207.95 points or 0.86 per cent to 23,842.65.
According to exchange data, foreign institutional investors became buyers on Friday and bought shares worth Rs 672.09 crore. Meanwhile, according to the RBI, the country’s foreign exchange reserves increased by $9.063 billion to $697.121 billion during the week ending April 3, 2026. In the week ending March 27, total reserves fell by $10.288 billion to $688.058 billion.
ADB’s growth forecast
Prolonged conflict in West Asia could weaken India’s macroeconomic performance in several ways, including rising energy prices, disruptions in trade flows and lower remittance inflows, the Asian Development Bank (ADB) said on Friday. In its ‘Asian Development Outlook April 2026’ report, ADB projected that India’s GDP growth will remain “strong” at 6.9 percent in the current fiscal year, and rise to 7.3 percent in the next fiscal year; This growth will be driven by strong domestic demand, and supported by easy financing conditions and low US tariffs on Indian goods.
