The Impressive TimesMumbai, June 13 – The Indian rupee witnessed a sharp decline on Friday, depreciating by 48 paise to close at 86.08 against the US dollar, amid heightened geopolitical tensions and adverse market conditions. The slide was primarily attributed to a spike in global crude oil prices and a stronger US dollar, triggered by fresh Israeli strikes on Iran’s nuclear facilities, which stoked fears of further instability in the Middle East.
Forex traders noted that the rupee had opened significantly weaker, falling 55 paise to 86.15 in early trade, compared to the previous close of 85.60. The local currency fluctuated between an intraday high of 86.02 and a low of 85.25 during the session.
Adding to the downward pressure were negative cues from domestic equity markets and sustained foreign institutional investor (FII) outflows, which collectively dented investor sentiment. Dealers warned that if geopolitical risks persist and crude prices remain elevated, the rupee could remain under stress in the coming sessions.
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