- The Indian rupee has fallen approximately 2% from its June highs and is currently trading near record lows as rising oil prices increase import costs.
- Analysts from Danske Bank and Ebury Partners are forecasting potential new record lows for the rupee against the dollar due to the energy price shock.
- Global crude prices showed high volatility, erasing early gains following reports of a potential 10-day ceasefire proposal between the US and Iran.
Quotes
“With oil prices on the ascent again, bets that tens of billions of dollars in fresh capital inflows would sustain a recovery in the Indian rupee have all but vanished.”
“August WTI crude oil (CLQ26 ) today is down -0.33 (-0.40%), and August RBOB gasoline (RBQ26 ) is down -0.0158 (-0.47%).”