The rupee depreciated 34 paise to close at 94.67 (provisional) against the US dollar on Monday, weighed down by the strength of the American currency in the overseas market.

Forex traders said the rupee witnessed volatility as steady debt and deposit inflows pulled the domestic currency in one way, while the lack of clarity on the Middle East peace deal and a firm dollar pulled it the other way.

At the interbank foreign exchange market, the rupee opened at 94.42, registering a decline of 9 paise from its previous close. In intraday trade, the rupee traded in the range of 94.24 to 94.76.

At the end of Monday's trading session, the USD/INR was quoted at 94.67 (provisional), lower by 34 paise over its previous close.

On Friday, the rupee pared most of its initial gains and settled higher by 7 paise at 94.33 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 100.88, up 0.03 per cent, amid hawkish Fed and the fragile US-Iran trade deal.

Brent crude, the global oil benchmark, was trading lower by 1.75 per cent at USD 79.16 per barrel in futures trade.

On the domestic equity market front, Sensex climbed 291.17 points to settle at 77,094.07, while Nifty was up 89.80 points to 24,102.90.

Foreign institutional investors turned buyers on Friday, purchasing equities worth Rs 4,859.07 crore on a net basis, according to exchange data.

On the global front, high-level Iran war talks in Switzerland ended on Monday with lower-level talks planned for the rest of the week as Iran and the United States agreed to create a "de-confliction cell" to address the fighting in Lebanon.

The talks marked the start of a 60-day diplomatic process that seeks to reach a permanent deal to end the Iran war.

Meanwhile, Iran insisted it had again shut the Strait of Hormuz over the weekend, the narrow passage of the Persian Gulf crucial to energy shipments, while the US said traffic continued.

Published on June 22, 2026