to recover on Tuesday, boosted by a pullback in oil prices after
US President Donald Trump said the Iran war would be over
soon, bringing relief to investors worried about prolonged
disruptions to energy supplies.
The 1-month non-deliverable forward indicated the rupee
will open in the 91.90-92.00 range versus the US
dollar, having dropped 0.64 per cent on Monday to 92.3275.
Brent crude futures slid more than 10 per cent on Tuesday to
around $88.50, sharply off the panic high of $119.50 seen the
previous day.
Trump, in a CBS News interview on Monday, said that the war
against Iran “is very complete” and that Washington was “very
far ahead” of his initial estimate of several weeks. This
prompted investors to pare back risk premiums built into oil
markets.
Fears of prolonged Persian Gulf supply disruptions are
receding after Trump’s comments, ING Bank said, though it
cautioned that his words “will only go so far” unless oil flows
through the Strait of Hormuz resume.
In response to Trump, Iran’s Revolutionary Guards said they
would determine when the war is over and that Tehran would not
allow “one litre of oil” to be exported from the region if US
and Israeli attacks continued.
RISK RECOVERS
Supported by the drop in oil prices, risk assets rallied,
with US equities recovering and Asian shares following suit.
US Treasury yields and the dollar index slipped.
Indian equities were poised to open on a positive note.
“The tone is clearly very different today,” a currency
trader at a bank said. “However, this remains a very fluid
situation and likely to remain headline-driven. Prefer to keep
positioning light considering the risks of large two-sided
moves.”
Published on March 10, 2026