INR vs USD, on April 22: Indian rupee weakens to 93.8 against US dollar amid West Asia uncertainties

According to a PTI report, the Indian rupee was witnessing significant pressure due to the sell-off in the domestic equity markets and withdrawal of foreign capital.

Investing.com data showed that the Indian rupee weakened 0.35% to 93.808 against the US dollar as of 11:56 am on Wednesday, April 22, compared to 93.48 against the dollar at the previous market close. The Indian currency opened at 93.69 against the US greenback, before dropping to its low.

The data also showed that during Tuesday’s session, the Indian rupee was trading around 93.631 against the US dollar during the intraday currency market session, after the markets opened at 93.120.

Dollar move

Data collected from the Bloomberg US dollar spot (DYX) showed that the greenback was trading 0.12% lower at 98.276 as of 1:49 am (EDT) on Wednesday, April 22, compared to the previous market close. The dollar index gauges the US greenback's strength against a basket of six world currencies.

The dollar demand was witnessing pressure with the elevated crude oil prices in the market, and due to the uncertainty on the potential peace deal between the United States and Iran, amid the US blockage at the Strait of Hormuz and the extension of the ceasefire deal.

Global benchmark Brent crude oil prices were trading 0.78% lower at $97.70 per barrel (bbl) as of 12:25 pm on Wednesday, compared to $98.48 per bbl at the previous market session.

Latest updates showed that US President Donald Trump, in an official statement on April 22, extended the ceasefire agreement between the United States and Iran after the earlier deal expired on Wednesday. Trump also announced that the US defence forces will continue to blockade the key trading route.

Traders remained cautious over the US blockade and President Donald Trump’s US-Iran ceasefire extension move without a pre-set timeline.