Indian Rupee Is Trading at 95.2175 against US Dollar

Financial Market Overview

Indian Rupee

On Friday, the Indian rupee is trading at 95.2175 versus the US dollar. Following a period of significant depreciation driven by the ongoing Iran conflict and rising crude oil prices, the Indian rupee experienced a rally on June 5, 2026, after the Reserve Bank of India (RBI) and the government introduced a suite of measures to stimulate foreign inflows. To stabilize the currency, RBI Governor Sanjay Malhotra announced discounted forex swap facilities for public sector external borrowings and non-resident Indian deposits, alongside an extension for export proceed remittances and new incentives for investment in the debt market. Complementing these central bank efforts, the government exempted foreign institutional investors from capital gains tax on government bond transactions. These strategic interventions, reminiscent of successful 2013 stabilization policies, aim to alleviate pressure on India's FX reserves and bolster the rupee, which has declined more than 6% so far this year.

Indian Equities

Indian equity markets experienced volatility on June 5, 2026, as the Nifty 50 and Sensex erased early gains following the Reserve Bank of India’s (RBI) monetary policy decision to keep the repo rate unchanged at 5.25% while simultaneously raising its FY27 inflation forecast and lowering its GDP growth projection. Amid this central bank caution, the Indian government introduced significant measures to support foreign investment, including the removal of long-term capital gains and withholding taxes on interest income from government securities for foreign portfolio investors. Market sentiment remained mixed throughout the day, influenced by these policy shifts, global economic pressures such as elevated oil prices, and specific corporate developments, including major orders for BHEL and Bluspring Enterprises, even as IT stocks like Wipro faced notable selling pressure.

Global Market

Asian markets displayed mixed results. The Nikkei 225 fell 845.69 points to 66,625.00, while the Hang Seng fell 275.40 points to 24,978.00 and the Shanghai Composite fell 30.04 points to 4,027.74. Elsewhere, the KOSPI fell 478.82 points to 8,160.59, Taiwan Weighted fell 606.52 points to 45,070.94, the Straits Times fell 22.34 points to 5,045.19, the SET Composite fell 12.62 points to 1,582.17, and the Jakarta Composite fell 194.88 points to 5,644.91.

European markets were also mixed. The FTSE 100 is lower, falling 7.60 points to 10,352.72, and the DAX 40 is down 121.65 points to 24,823.30, while the CAC 40 is up 3.11 points to 8,247.40.

US futures traded mixed. Futures tied to the Dow Jones Industrial Average rose 20.64 points, or 0.04%. Meanwhile, S&P 500 futures rose 30.63 points, or 0.41%, and Nasdaq futures fell 23.02 points, or 0.09%.

The price of a barrel of Brent crude was down by 0.03 points to $95.00.