Re closes at new low of 83.45 on oil price surge

Mumbai: The rupee closed at a new low of 83.45 against the US dollar on Wednesday, slipping by 10 paise from its previous day’s closing of 83.35.
The currency weakened due to rising crude oil prices in the international market. Brent crude oil prices have surged to a five-month high of $90 per barrel due to fresh supply concerns and escalating conflict in West Asia and Russia, which saw its refineries come under drone attack.However, dealers said that despite touching an all-time low, the domestic currency remains stable. On March 22, the rupee had hit a low of 83.43.
According to Jateen Trivedi of LKP Securities, the rupee saw a minor gap-up opening around 83.3 but ultimately relinquished those gains. The strength of the dollar index and higher crude oil prices were the reasons behind the rupee’s decline.

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