The Indian rupee is set to slip at Tuesday’s open, with ​oil prices near a three-week high and a weaker ‌tone across Asian currencies.

The rupee is expected ​to open in the 94.25-94.30 range, according ⁠to traders, having settled marginally higher at 94.19 on Monday.

The currency has steadily weakened from the high of ‌around 92.70 hit 10 days ago, with oil-linked flows and hedging-related dollar demand chipping ‌away at the positive sentiment created by the ‌Reserve ⁠Bank of India’s measures to support ⁠the rupee.

Oil appears to have settled at a higher level, leaving limited scope for sustained relief for the rupee, ​a currency trader at ‌a private-sector bank said.

On a day-to-day basis, there is heavy dollar buying by oil refiners, with little offsetting supply expected and limited RBI intervention ‌anticipated.

The RBI has been intervening to alleviate ​pressure on the rupee, traders said.

However, the support has largely been selective, with ⁠the central bank supplying dollars up to specific levels before stepping back, rather than defending the currency ‌aggressively, they said.

Oil remains a pain point

It has been two months since the U.S. and Israel attacked Iran, and while a ceasefire has remained in place since early April, oil flows through the Strait of Hormuz have yet to resume.

Analysts ‌see the lack of shipments through the key transit route ​as a major obstacle to any cooling in oil prices. Brent crude for June ⁠climbed more than 1% to $109.40 a barrel on Tuesday, ⁠potentially extending its winning streak to seven sessions. Faltering efforts to halt the U.S.–Iran ‌conflict underpinned prices.

Most Asian currencies weakened, compounding the pressure from oil prices on the rupee. ​The dollar index inched up.

Published on April 28, 2026