Rupee
Rupee crashes 139 paise as Trump rejects Iran peace response, oil prices soar
Mumbai/IBNS: The Indian rupee on Monday crashed 139 paise to 94.90 against the US dollar after US President Donald Trump rejected Iran’s response to a proposed peace initiative, media reports said.
The sharp fall in the Indian currency came as global crude oil prices surged amid escalating tensions in West Asia.
Stock market plunges amid global tensions
The Indian stock market also witnessed a massive selloff on Monday, triggering panic among investors.
The benchmark BSE Sensex crashed over 1,000 points in early trade, while NSE Nifty 50 slipped below the 23,900 mark as oil prices spiked during the first hour of trading.
Strait of Hormuz fears deepen crisis
Investor concerns intensified over reports of a possible closure of the Strait of Hormuz for 70 days, a move that could severely disrupt global crude oil supply chains and sharply increase fuel prices worldwide.
Global benchmark Brent Crude climbed 2.69 percent to $104.01 per barrel as geopolitical tensions escalated following the United States’ rejection of Iran’s response.
Modi urges austerity measures
Prime Minister Narendra Modi on Sunday urged Indians to adopt austerity measures in view of the worsening crisis in West Asia, warning that the conflict could seriously affect India’s economy through rising fuel prices and mounting pressure on foreign exchange reserves.
Addressing a gathering in Hyderabad, Modi appealed to citizens to avoid unnecessary foreign travel for a year and refrain from purchasing gold during festivals and weddings.
‘Economic patriotism’ call
Stressing the need for “economic patriotism”, Modi said every Indian must contribute towards protecting the country’s financial stability during a period of global uncertainty.
He also urged people to reduce petrol and diesel consumption, revive work-from-home practices wherever possible and rely more on public transport.
The Prime Minister cautioned that disruptions in global crude oil supply chains due to the conflict could sharply raise India’s import bill, given the country’s heavy dependence on imported fuel and gold.
Support Our Journalism
We cannot do without you.. your contribution supports unbiased journalism
IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.
Support objective journalism for a small contribution.
