Indian rupee hits new low of 92.94 against US dollar

New Delhi, March 20 (IANS) The Indian rupee reached a new low against the US dollar on Thursday, depreciating 30 paise to 92.94, as oil prices remain elevated amid the West Asia crisis.

In the meantime, foreign institutional investors (FIIs) have sold nearly Rs 74,000 crore over the last 12 sessions in the domestic stock market.

Iran has warned it would carry out more severe retaliatory strikes if the US and Israel attack its energy facilities again. On Wednesday, Israel struck Iran's South Pars offshore natural gas field in the Gulf, which it shares with Qatar.

Qatar later reported fires and extensive damage at liquefied natural gas facilities following Iranian strikes.

Earlier, the rupee on Wednesday touched a fresh low of 92.63 against the US dollar, amid a firming greenback and continued foreign fund outflows. At the interbank foreign exchange, the rupee opened at 92.42 and moved in a narrow range before weakening to its all-time low during the session.

Despite a backdrop of strong risk appetite and softer crude prices, the currency faced aggressive dollar demand from importers. Amid the ongoing West Asia conflict, the rupee has weakened by more than 1 per cent.

According to analysts, the macro backdrop remains unfavourable, with crude likely to stay elevated, keeping the rupee under pressure.

Meanwhile, the US is considering a series of emergency energy measures, including releasing more crude from its strategic reserves and easing restrictions on Iranian oil, as the White House moves to contain rising prices after fresh disruptions in global supply.​

US Treasury Secretary Scott Bessent said the administration had prepared contingency plans in advance of potential chokepoints in global oil flows, particularly around key maritime routes.​

The push comes as the White House faces pressure to respond to rising oil prices following attacks on energy infrastructure and disruptions to shipping routes.

—IANS

na/