The rupee is facing a setback against the dollar! It surpasses 95 against the dollar – and prices of everything from oil to cooking gas will soon rise.

The rupee erased early gains and breached the 95-level to settle at 95.22 against the US dollar. The domestic currency is under pressure due to rising crude oil prices, ongoing geopolitical tensions and a strong dollar environment. Although the rupee started with gains, it later lost the initial gains. At the interbank forex market, the rupee opened at 93.62 per dollar and then inched higher to 93.57 per dollar, registering a rise of 128 paise over its previous close.
However, the gains could not be sustained and the rupee fell to an all-time low of 95.22 against the US currency in intra-day trade. The ongoing war in Iran and rising tensions in the Middle East have shaken the global markets, which is having a direct impact on the Indian currency. Earlier in the day, the rupee had plunged 89 paise to close at 94.85 against the US dollar. The weakening of the rupee means that now everything coming from abroad will become expensive. That is, now India will have to pay more dollars for crude oil, which can increase the prices of petrol, diesel and cooking gas (LPG) in the coming days. Not only this, the prices of mobile phones, laptops and other gadgets, whose parts come from abroad, can increase. With this, students who are studying abroad or those who are planning to travel abroad will now have to spend more rupees to buy dollars. Freight will also be costlier, which could also lead to a spike in prices of food items and everyday items.