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Rupee weakens against dollar amid high crude prices

12 Mar 2026 Evaluate

Indian rupee has weakened against the U.S. dollar on Thursday amid surge in global crude oil prices and persistent foreign capital outflows. The foreign institutional investors were the net sellers on Wednesday’s session, offloading securities worth Rs 6,267.31 crore. Besides, the ongoing conflict in West Asia continued to weigh on investors’ sentiments. Meanwhile, Crisil Intelligence in its latest report has said that real gross domestic product (GDP) growth of India is likely to moderate but remain healthy at 7.1% in fiscal year 2026-27 (FY27) compared with 7.6% in FY26 (revised under the new GDP series). It noted that conflict in West Asia, if prolonged, could pose a downside risk to India's economic outlook due to its impact on crude oil and commodity prices. On the global front, the British pound has weakened against the U.S. dollar on Thursday as ongoing uncertainty over the Middle East conflict bolstered the US dollar and raised concerns about rising inflation in the United Kingdom.

Finally, the rupee ended at 92.23 (Provisional), weakened by 22 paise from its previous close of 92.01 on Wednesday. The currency touched a high and low of 92.36 and 92.08 respectively.

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