By Jaspreet Kalra<\/p>\n
MUMBAI, March 12 (Reuters) – Indian assets declined on Thursday and the rupee fell to a record low, as a fresh surge \u200cin crude prices reignited worries over the economic impact of energy supply \u200cdisruptions, even as central bank intervention helped cushion the currency’s fall.<\/p>\n
Brent crude oil prices climbed to $100 per \u200bbarrel as Iran stepped up attacks on oil and transport facilities across the Middle East, warning the world to brace for oil at $200 a barrel.<\/p>\n
The rupee fell 0.3% to 92.3575, eclipsing its previous lifetime low of 92.3475 hit earlier this week.<\/p>\n
India’s benchmark \u200cequity index Nifty 50 fell \u2060about 1%, the yield on the benchmark 10-year bond rose 4 bps, and the rupee averted steeper losses largely on the back of \u2060central bank intervention, traders said.<\/p>\n
Asian currencies weakened across the board, while MSCI’s gauge of regional stocks fell more than 1.5%.<\/p>\n
“We expect the RBI to intervene in 92.30-92.35. However \u200bif Brent \u200bcontinues to remain elevated for a couple \u200bof sessions, the RBI may have \u200cto let the rupee go,” said Abhishek Goenka, chief executive at FX advisory firm IFA Global.<\/p>\n
The pressure on the rupee was also evident in hedging markets. The 1-year implied hedging cost climbed above 3% for the first time since December 2025, the 1-month implied volatility – a gauge of future expectations – hovered near its highest \u200clevel since May last year.<\/p>\n
Asian currencies were down \u200bbetween 0.1% and 0.7%, while regional stocks fell \u200bmore than 1.5%.<\/p>\n
“A number of major \u200bAsian currencies stand to be amongst the most negatively impacted \u200cby the current shock both due to \u200blarge existing energy trade \u200bbalance deficits… (and) their key dependencies on energy flows from the Strait of Hormuz specifically,” analysts at Goldman Sachs said in a note.<\/p>\n
Morgan Stanley said \u200bIndia is also the most \u200cexposed Asian economies to end-demand for exports, adding growth risks on top \u200bof the inflation threat from higher energy prices.<\/p>\n
(Reporting by Jaspreet Kalra; \u200bEditing by Sumana Nandy and Sherry Jacob-Phillips)<\/p>\n","protected":false},"excerpt":{"rendered":"By Jaspreet Kalra MUMBAI, March 12 (Reuters) – Indian assets declined on Thursday and the rupee fell to…\n","protected":false},"author":2,"featured_media":336273,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[165051,114,165050,2382,49628,85,46,10934],"class_list":["post-336272","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-asian-currencies","tag-business","tag-central-bank-intervention","tag-crude-oil-prices","tag-crude-prices","tag-il","tag-israel","tag-rupee"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/336272","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=336272"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/336272\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/336273"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=336272"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=336272"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=336272"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}