USD/INR falls to 95.25 as WTI crude declines 0.75% to near $86.29 on renewed US-Iran negotiations optimism.
The Indian Rupee strengthened against the US Dollar in afternoon trading, with USD/INR dropping to near 95.25. The move follows a 0.75% decline in WTI oil prices to around $87, approaching Thursday’s monthly low of $86.29.
Oil-dependent currencies like the INR typically benefit from lower crude prices, reducing import costs. Optimism over a potential US-Iran deal, including unrestricted energy flow through the Strait of Hormuz, has eased geopolitical tensions. However, the agreement awaits US President Trump’s approval.
A broader risk rally emerged after Iran’s retaliatory strikes on US bases earlier this week, though sentiment remains cautious ahead of Trump’s response.