Indian Rupee Falls 25 Paise to 95.33 Against Dollar as Brent Crude Exceeds $100

The Indian rupee weakened by 25 paise to 95.33 against the US dollar in early trading on Thursday. The currency previously closed at 95.08 the day before but lost further ground during Thursday's session as traders reacted to rising energy costs. Brent crude oil futures traded near $101 per barrel, surpassing the $100 psychological threshold cited by market analysts as a key pressure point. Anil Kumar Bhansali noted that the rupee's move past the 95 mark triggered additional dollar demand and stop-loss activity among investors. Despite this decline, the Reserve Bank of India stepped in to dampen market volatility through state bank dollar supply. Financial experts warn that India imports nearly 90 percent of its crude oil, meaning every USD 10 increase in global prices adds roughly USD 12 billion to the national import bill. This dynamic has widened trade deficits and raised inflation fears for an economy heavily reliant on foreign currency inflows from sectors like FCNR deposits.