Gold and silver prices over the last few weeks have been witnessing a sharp decline. The major reason for the declining gold prices is the concerning global turmoil. Continuing the trend, the prices of gold on Thursday fell significantly and stood at Rs 1,48,017 for 10 grams. Earlier on Wednesday, the price of yellow metal stood at Rs 1,53,900 for 10 grams in futures trade. As reported by news agency IANS, the sudden surge in gold price on Wednesday was because of the bullish sentiment in the domestic market amid a rise in precious metal rates globally and a weaker US dollar. O On the Multi Commodity Exchange, the yellow metal for June delivery increased Rs 1,539, or 1.02 per cent, to Rs 1,52,300 per 10 grams from Tuesday's closing level of Rs 1,50,761 per 10 grams. On the Multi Commodity Exchange (MCX), gold contracts for June 5 delivery opened 0.27 per cent lower at Rs 1,46,850 per 10 grams, as against the previous close of Rs 1,47,255. The yellow metal declined sharply during the session, falling as much as Rs 3,043, or 2.06 per cent, to hit an intraday low of Rs 1,44,212 per 10 grams. Gold prices in Mumbai While the global uncertainties have been gripping the global supply chain, precious metals such as gold and silver are also experiencing a serious hit. Falling marginally on Thursday, the price of 24-carat gold in Mumbai stood at Rs 1,48,017 for 10 grams. Whereas the price of 22-carat gold stood at Rs 1,35,583.57 for 10 grams. However, the demand for the yellow meta still remains stagnant. Silver prices Silver futures (May 5) also came under pressure, declining as much as 0.96 per cent to Rs 2,25,763 per kg, compared to the previous close of Rs 2,27,954. In the international market, gold prices fell as a surge in energy prices due to the ongoing US-Iran conflict heightened inflation concerns and dampened expectations of interest rate cuts by the US Federal Reserve this year. Sensex, Nifty plunge over 2 per cent Indian equity benchmarks, after regaining momentum on Wednesday, also plunged during early trade on Thursday as investors reacted sharply to U.S. President Donald Trump's address amid the ongoing West Asia conflict. BSE Sensex stood at 71,616.03 points, down 1,518.29 points, or 2.08 per cent, at 9:16 am. Similarly, the NSE Nifty 50 stood at 22,216.90 points, reflecting a decline of 462.50 points or 2.04 per cent. The downward movement follows a period of brief recovery, where the Nifty had closed 348 points higher, and the Sensex had climbed 1187 points. While the indices saw a gap-up opening recently, the short-term trend remains weak. The market is now testing critical support levels that will determine the trajectory for the remainder of the week. (With inputs from IANS and ANI)
02 April,2026 04:41 PM IST | Mumbai | mid-day online correspondentThe Middle East conflict and elevated oil prices will likely lead to the Reserve Bank of India maintaining the policy repo rate unchanged at 5.25 per cent in its April 2026 MPC meeting, a report said on Thursday. The report from Bank of Baroda predicted that the economic landscape has reached the end of the rate cut cycle, and RBI will now remain on a prolonged pause. The central bank will likely maintain a neutral stance and remain vigilant about the evolving situation, it said, adding that targeted measures may be announced to support liquidity and the rupee. If inflation breaches the upper tolerance band of 6 per cent, the bank said there could be a rate hike towards the end of the year. "Impact of war on growth and inflation will become clearer in the next 3-4 months. RBI is likely to then take a call on the direction of its rate trajectory," the report said. Since the last policy meeting, the US‑Iran conflict has disrupted energy supplies with the Strait of Hormuz closed, pushing oil prices above $100 per barrel. Markets also remained highly volatile and the war has pressurised FPI outflows from India, bond yields and INR to touch record low at 94.83 per USD. “The impact of war will be felt on global growth and inflation. India is also likely to get impacted and thus RBI may re-work its GDP and inflation forecasts for FY27,” the report said. In the latest monthly economic bulletin released, CEA has cautioned that the current account deficit too will widen significantly in FY27. The bank projected FY26 GDP growth at 7.6 per cent and FY27 growth to range between 7-7.2 per cent. The bank also cautioned that the current account deficit is likely to widen. This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.
02 April,2026 03:17 PM IST | New Delhi | IANSIndian equity benchmarks, after regaining momentum on Wednesday, plunged during early trade on Thursday as investors reacted sharply to U.S. President Donald Trump's address amid the ongoing West Asia conflict. As reported by news agency ANI, investors remained hesitant after Donald Trump's address regarding the escalating Middle East conflict. The BSE Sensex and NSE Nifty 50 both dropped over two per cent within minutes of the opening bell, erasing gains from the previous session's relief rally. BSE Sensex falls by 2.08 per cent on The BSE Sensex stood at 71,616.03 points, down 1,518.29 points, or 2.08 per cent, at 9:16 am. Similarly, the NSE Nifty 50 stood at 22,216.90 points, reflecting a decline of 462.50 points or 2.04 per cent. The downward movement follows a period of brief recovery, where the Nifty had closed 348 points higher, and the Sensex had climbed 1187 points. While the indices saw a gap-up opening recently, the short-term trend remains weak. The market is now testing critical support levels that will determine the trajectory for the remainder of the week. Nifty and Sensex closed higher on Wednesday Earlier on Wednesday, Indian equities started off the first day of the new financial year on a positive note, staging a sharp rebound after recent losses, supported by improving global sentiment. Benchmarks opened firm and sustained gains through the session, with the Nifty50 closing higher by 1.6 per cent. Broader markets outperformed, as Nifty midcap and smallcap indices advanced 2.2 per cent and 3.3 per cent, respectively, reflecting improving risk appetite and bargain hunting at lower levels. Expert Opinion Market experts noted that the volatility is linked to the lack of a definitive ceasefire in the Middle East amid the ongoing West Asia War. Market and banking expert Ajay Bagga said, "Trump Speech Highlights: Nothing new, no ceasefire announcement, threats to Iran, Hormuz reopening responsibility on countries importing through it, 2-3 more weeks of kinetic action, no off-ramp, no talk of ground troop action." Markets disappointed as the same messaging was rehashed after building up expectations of a very significant announcement. US futures down, Indian futures down, oil back at 105$," as cited by ANI.
02 April,2026 10:13 AM IST | Mumbai | mid-day online correspondentGold price climbed Rs 1,539 to Rs 1.52 lakh per 10 gram in futures trade on Wednesday due to bullish sentiment in the domestic market amid rise in precious metal rates globally and a weaker US dollar. On the Multi Commodity Exchange, the yellow metal for June delivery increased Rs 1,539, or 1.02 per cent, to Rs 1,52,300 per 10 grams from Tuesday's closing level of Rs 1,50,761 per 10 grams. Commodity markets were closed in the morning session on account of Shri Mahavir Janma Kalyanak and resumed trading in the evening session on Tuesday.Analysts said investors turned to safe-haven asset amid uncertainty surrounding the ongoing US-Iran conflict. "Gold prices saw a notable uptick on Wednesday as investors sought refuge amid rising geopolitical tensions, particularly related to the ongoing US-Iran conflict," Gaurav Garg, Research Analyst at Lemonn Markets Desk, said. In the international market, gold futures for the May contract gained USD 55.35, or 1.18 per cent, to USD 4,733.95 per ounce. "Gold prices extended gains for a fourth consecutive session in Asian trade, supported by a weaker dollar and softer Treasury bond yields, as investors assessed signs of a potential de-escalation in the US-Iran conflict," Manav Modi Commodities Analyst Motilal Oswal Financial Services Ltd (MOFSL), said. According to analysts, bullion prices witnessed a strong rebound after a volatile March, with prices rising sharply in previous session as the dollar retreated. However, the metal remained significantly lower for the month following pressure from expectations of higher-for-longer interest rates by the US Federal Reserve.Market sentiment improved after US President Donald Trump indicated that Washington could exit the conflict within "two to three weeks," raising hopes of a near-term resolution. Iranian President Masoud Pezeshkian also signalled readiness to end hostilities under certain conditions. Despite these developments, uncertainty around the timing and structure of any agreement, along with concerns over potential disruption in the Strait of Hormuz, kept investors cautious. Meanwhile, Federal Reserve Chair Jerome Powell reiterated a data-dependent approach, noting that policymakers are closely monitoring economic fallout from geopolitical developments. Modi of MOFSL said investors' focus in the Easter-shortened week will remain on the US jobs market data, which could provide further direction on the trajectory of monetary policy and bullion prices. On the outlook, Renisha Chainani, Head of Research at Augmont said gold has reached upper end of the range touching USD 4,700 per ounce (Rs 1.52 lakh per 10 grams). "We are likely to see some retracement and consolidation before prices move towards next resistance of USD 4,900 per ounce, translating it into Rs 1.58 lakh per 10 grams in the domestic markets," she added This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.
01 April,2026 02:27 PM IST | New Delhi | PTIPradhan Mantri Mudra Yojana (PMMY) has sanctioned more than 52.37 crore loans disbursing a total of Rs. 33.65 lakh crore since its launch in April 2015, according to an official fact-sheet. Around 70 per cent of loans went to women entrepreneurs and about 50 per cent to borrowers from Scheduled Caste, Scheduled Tribe and Other Backward Classes, the fact-sheet said as per IANS reports. A category‑wise breakdown of loan sanctions showed that Shishu loans account for 78 per cent of the number of loans and 36 per cent of the amount sanctioned. Shishu category covers loans in PMMY up to Rs. 50,000. Kishor applies to loans above Rs. 50,000 and up to Rs. 5 lakh, while Tarun category means loans above Rs. 5 lakh and up to Rs. 10 lakh. Kishor loans made up 20 per cent of loans and 40 per cent of the amount disbursed. Tarun loans accounted for 2 per cent of loans and 24 per cent of the amount disbursed, it noted. Tarun Plus, is designed specifically for those who have successfully repaid loans under the Tarun category, allowing them to access funding between Rs 10 lakh and Rs 20 lakh. Additionally, the Credit Guarantee Fund for Micro Units (CGFMU) will now provide guarantee coverage for these enhanced loans, further reinforcing the government’s commitment to nurturing a robust entrepreneurial ecosystem in India as reported by IANS. PMMY was launched for financing income-generating small business enterprises in manufacturing, trading and service sectors, including activities allied to agriculture such as poultry, dairy, beekeeping, etc. Term Loan and Working Capital requirements can both be met. To strengthen support for aspiring entrepreneurs, the Finance Minister announced an increase in the loan limit to Rs 20 lakh during the Union Budget 2024-25 on July 23, 2024. This new limit took effect on October 24, 2024. These loans are extended through Banks, NBFCs, MFIs, and other financial institutions. (With IANS Inputs) This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.
01 April,2026 01:57 PM IST | New Delhi | IANSEquity benchmark indices Sensex and Nifty surged in early trade on Wednesday, tracking a sharp rally in global markets on hopes of a potential de-escalation in the ongoing West Asia conflict. The 30-share BSE Sensex jumped 1,899.53 points to 73,847.08 in early trade. The 50-share NSE Nifty surged 572.55 points to 22,903.95. All 30 Sensex firms were trading higher, with Trent, Bharat Electronics, Adani Ports, Bajaj Finance, InterGlobe Aviation and Larsen and Toubro emerging as the major gainers. In Asian markets, South Korea's benchmark Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng index were trading sharply higher. The Kospi jumped nearly 7 per cent, while the Nikkei 225 index climbed over 4 per cent. “There are indications of de-escalation of the war from statements issued by the Iranian authorities. The Iranian president’s ‘openness to ending the war’ and confirmation from the Iranian foreign minister that ‘messages were exchanged with the US’ indicate that the war might end soon. This view is reflected in declines in crude prices and US bond yields,” V K Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, said. The US markets ended significantly higher on Tuesday. The Nasdaq Composite index surged 3.83 per cent, the S&P 500 jumped 2.91 per cent, and the Dow Jones Industrial Average climbed 2.49 per cent. “The momentum is largely being driven by a decisive improvement in global risk sentiment, following encouraging signals around potential de-escalation in the ongoing West Asia conflict,” Hariprasad K, Research Analyst and Founder of Livelong Wealth, said. Brent crude, the global oil benchmark, traded 1.29 per cent higher at USD 105.3 per barrel. Stock markets were closed on Tuesday on account of Shri Mahavir Jayanti. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 11,163.06 crore on Monday, according to exchange data. Domestic Institutional Investors (DIIs), however, bought stocks worth Rs 14,894.72 crore. On Monday, the Sensex had tumbled 1,635.67 points, or 2.22 per cent, to settle at 71,947.55, while the Nifty had slumped 488.20 points, or 2.14 per cent, to end at 22,331.40. This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever
01 April,2026 11:03 AM IST | Mumbai | PTIAfter experiencing a major decline in the last few days amid the West Asia War, the Indian stock market ended higher on Monday. Benchmark indices recovered strongly in the last leg of trading, snapping a three-day losing streak. Nifty 50 surges by 1.11 per cent The benchmark Sensex rose 939 points, or 1.26 per cent, to close at 75,502.85 while Nifty climbed 257.70 points, or 1.11 per cent, to settle at 23,408.80. Gains in auto and banking stocks helped lift the market despite weakness in broader indices. Sectoral indices However, the broader markets, apart from the Nifty 50 and Sensex, did not perform as strongly as the main indices. The Nifty Midcap 100 ended 0.43 per cent lower, while the Nifty Smallcap 100 closed 0.65 per cent down. Among sectoral indices on the National Stock Exchange, the auto sector saw the biggest gains, with the Nifty Auto emerging as the top performer. Finance and real estate stocks surge Financial stocks also supported the market, as the Nifty Financial Services and Nifty Private Bank ended higher. On the other hand, the real estate sector lagged behind the broader market, with the Nifty Realty emerging as the weakest performer among sectoral indices, as per IANS. Expert opinion Head of Research at Motilal Oswal Financial Services, Siddhartha Khemka, said, “Markets recovered on Monday; however, volatility is likely to continue as investors remain cautious amid ongoing geopolitical developments in West Asia and fluctuations in energy prices.” “The conflict continues to weigh on sentiment and keep overall risk appetite subdued. The Nifty 50 opened below 23,120 amid weak global cues and heavy foreign selling, with FIIs offloading equities worth Rs 10,717 crore on Friday, dampening market sentiment,” Khemka added. Top losers and gainers Sun Pharma, Bharti Airtel, HCL Tech, and TCS were among the top losers on the Sensex packs. On the other side, HDFC Bank, Mahindra and Mahindra, Eternal, and Tata Steel were among the top gainers. Market sentiment improved towards the end of the trading session as investors bought shares in the auto and financial sectors. The rally helped the benchmark indices recover from the losses seen over the past three sessions. (With inputs from IANS)
31 March,2026 09:39 PM IST | Mumbai | mid-day online correspondentA host of major tax and financial changes announced in the Union Budget will come into force from April 1, marking the beginning of the 2026–27 financial year. The rollout includes the implementation of the new Income-tax Act, 2025, higher Securities Transaction Tax (STT) on derivatives trading, and reduced Tax Collected at Source (TCS) on overseas remittances and tour packages, reported news agency PTI. New Income Tax Act to Replace Six-Decade-Old Law The Income-tax Act, 2025, will replace the existing Income-tax Act, 1961, aiming to simplify tax provisions and make them more structured and user-friendly. While the core tax policies remain largely unchanged, the new law introduces a more streamlined format to improve readability and compliance, reported PTI. The Income Tax Department has clarified that during the transition phase, its e-filing portal will support both the old and new systems. Assessments, appeals, and proceedings related to previous years will continue under the old law until completion. Taxpayers filing returns for Assessment Year 2026–27 in July 2026 will still use forms prescribed under the earlier Act, reported PTI. Single ‘Tax Year’ Concept Introduced One of the key structural changes is the introduction of a unified “tax year” system, replacing the earlier distinction between “previous year” and “assessment year.” This reform is expected to reduce confusion and simplify compliance for taxpayers. Additionally, the new framework allows taxpayers to claim TDS refunds even if income tax returns are filed after the deadline, without attracting penalties. Advance tax payments for the 2026–27 tax year, starting June 2026, will be governed by the new law, reported PTI. Higher STT on F&O Trades to Curb Speculation A significant market-related change is the increase in Securities Transaction Tax on futures and options (F&O) trades. STT on futures contracts will rise from 0.02 per cent to 0.05 per cent, while options trading will also see higher taxation, reported PTI. The move is aimed at curbing excessive speculative trading in the derivatives segment and protecting small investors from large losses. Data indicates that while participation in equity derivatives surged in recent years, a large number of individual investors suffered substantial losses. A study by Securities and Exchange Board of India found that individual investors incurred net losses exceeding Rs 1 lakh crore in FY25. The number of active individual traders in the F&O segment also declined in FY26, reflecting growing caution among investors, reported PTI. Relief for Middle Class via Lower TCS Rates In a move to ease the financial burden on individuals, the government has reduced TCS rates on overseas tour packages and remittances under the Liberalised Remittance Scheme (LRS). TCS on international tour packages has been slashed to 2 per cent from 20 per cent. Similarly, remittances for medical and education purposes abroad will now attract a lower TCS rate of 2 per cent, down from 5 per cent. These changes are expected to benefit middle-class families managing expenses related to travel, healthcare, and education overseas, reported PTI. Boost for Data Centres and IT Sector The Budget also introduces a major incentive for the digital infrastructure sector. Foreign companies procuring data centre services in India will be eligible for a 20-year tax holiday until 2047. This is expected to attract global players while ensuring that their overseas income is not taxed in India, reported PTI. Domestic data centre operators are likely to gain from increased demand, as the policy ensures equal tax treatment whether companies set up their own facilities or outsource services locally. Additionally, the safe harbour threshold for IT and IT-enabled services has been significantly increased from Rs 300 crore to Rs 2,000 crore. This is expected to reduce litigation and provide greater tax certainty to companies operating in the sector. Overall, the new tax framework and accompanying measures signal a shift towards simplification, investor protection, and sectoral growth, while offering targeted relief to taxpayers. (With inputs from PTI)
31 March,2026 01:03 PM IST | New Delhi | mid-day online correspondentThe Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) will remain closed on March 31 on account of Shri Mahavir Jayanti. As per reports, trading across segments, including equities, equity derivatives, securities lending and borrowing (SLBs), currency derivatives, and interest rate derivatives, will remain suspended for the day on both exchanges. However, the commodity derivatives segment will be closed during the morning session and will resume trading in the evening session. Regular trading on both exchanges will recommence on April 1. Meanwhile, Indian benchmark indices extended their losses for a second straight session on March 30, with the Nifty 50 slipping below the 22,350 mark amid broad-based selling. The decline was led by banking stocks after the Reserve Bank of India tightened limits on banks’ dollar positions. At close, the Sensex dropped 1,635.67 points, or 2.22 per cent, to settle at 71,947.55, while the Nifty fell 488.20 points, or 2.14 per cent, to end at 22,331.40. The Nifty 50 has now declined over 11 per cent in March, marking its steepest monthly fall since March 2020. According to the reports, broader markets also came under pressure, with the Nifty Midcap and Smallcap indices declining around 2.6 per cent each. Among Nifty stocks, major losers included Bajaj Finance, Axis Bank, Bajaj Finserv, State Bank of India, and InterGlobe Aviation. On the other hand, Hindalco Industries, Coal India, ONGC, and Power Grid Corporation of India were among the gainers. All sectoral indices ended in the red, with auto, FMCG, consumer durables, capital goods, telecom, realty, and both private and PSU banking stocks falling between 2 per cent and 4 per cent. Rupee breaches 95/USD level before settling at 94.70 against US dollar The rupee breached the 95-per-US dollar mark during intra-day trade on Monday before recovering to settle at 94.70, up 15 paise, amid heightened volatility triggered by escalating tensions in West Asia, PTI reported Forex traders said the USD/INR pair witnessed sharp fluctuations, swinging 165 paise during the session as the Iran conflict entered its 31st day, keeping energy markets on edge and fuelling risk-off sentiment. According to PTI, at the interbank foreign exchange market, the rupee opened stronger at 93.62 and rose further to 93.57 against the US dollar, gaining 128 paise from its previous close. The initial surge followed the Reserve Bank of India’s move to cap banks’ Net Open Position (NOP-INR) at USD 100 million, with compliance mandated by April 10. However, the currency failed to hold gains and fell sharply to a record intra-day low of 95.22 against the greenback. It later recovered some ground to close at 94.70, compared to Friday’s historic closing low of 94.85, when it had plunged 89 paise. Market participants attributed the rupee’s weakness to global factors, particularly fading hopes of de-escalation between the US and Iran, which heightened risk aversion and boosted demand for safe-haven assets like the US dollar. Forex experts noted that a firm dollar index, hovering above the 100 mark, and rising crude oil prices continue to exert pressure on the rupee. Brent crude surged to USD 114.97 per barrel amid fears of supply disruptions due to geopolitical tensions, the news agency reported. Meanwhile, the dollar index was trading marginally lower at 100.30. On the domestic front, equity markets remained under pressure, with the Sensex falling 1,635.67 points to 71,947.55 and the Nifty declining 488.20 points to 22,331.40. Foreign institutional investors (FIIs) were net sellers, offloading equities worth Rs 11,163.06 crore during the session, according to exchange data. (With inputs from Agencies)
31 March,2026 12:36 PM IST | Mumbai | mid-day online correspondentEquity benchmark indices Sensex and Nifty on Monday ended the last trading session of the 2025-26 fiscal year sharply lower amid the global turmoil. As reported by news agency PTI, weak trends in Asian markets and unabated foreign fund outflows also added to the bearish trend in domestic equities. Nifty and Sensex fall significantly for the 2nd straight day Continuing the downward trajectory from Friday, the 30-share BSE Sensex tumbled 1,635.67 points, or 2.22 per cent, to settle at 71,947.55. On Monday, Sensex plunged 1,809.09 points, or 2.45 per cent, to 71,774.13. On the other hand, the 50-share NSE Nifty slumped 488.20 points or 2.14 per cent to end at 22,331.40. Top losers and gainers From the 30-Sensex firms, Bajaj Finance, State Bank of India, InterGlobe Aviation, Bajaj Finserv, Axis Bank and Kotak Mahindra Bank were among the biggest laggards. Whereas Tech Mahindra and Power Grid were among the top gainers. In the 2025-26 financial year, the BSE benchmark plunged 5,467.37 points, or 7 per cent, and the Nifty dropped 1,187.95 points, or 5 per cent. Global markets In Asian markets, South Korea's benchmark Kospi and Japan's Nikkei 225 index plunged nearly 3 per cent. Hong Kong's Hang Seng index also settled lower, while Shanghai's SSE Composite index ended in positive territory. Whereas the markets in Europe were trading marginally higher. The US market ended significantly lower on Friday. The Nasdaq Composite index tanked 2.15 per cent, while the Dow Jones Industrial Average lost 1.73 per cent and the S&P 500 declined by 1.67 per cent. Expert opinions Hariprasad K, Research Analyst and Founder, Livelong Wealth, while expressing his views on the market indices, said, "Indian equities extended their decline, with benchmark indices falling over 2 per cent, underscoring a deepening sell-off sentiment driven by persistent global uncertainties and rising crude oil prices," as cited by PTI. FIIs offloaded equities worth Rs 4.3 crore on Monday Foreign Institutional Investors (FIIs) offloaded equities worth Rs 4,367.30 crore on Friday, according to exchange data. Domestic Institutional Investors (DIIs), however, bought stocks worth Rs 3,566.15 crore. Foreign investors have pulled out Rs 1.14 lakh crore (about USD 12.3 billion) from domestic equities in March, making it the worst monthly outflow, weighed down by escalating tensions in West Asia, a weakening rupee and concerns over the impact of elevated crude oil prices on India's growth. (With inputs from PTI)
30 March,2026 05:54 PM IST | Mumbai | mid-day online correspondentThe Indian rupee bounced back sharply in early trade on Monday, gaining 1.3 per cent which is 128 paise to 93.57 per US dollar from its all-time low of 94.85 recorded on Friday, reported the PTI. Analysts say the rebound comes after the Reserve Bank of India (RBI) imposed restrictions on how much banks can bet on the rupee in the foreign exchange market. On March 27, 2026, the RBI issued a circular limiting banks’ net open positions (NOP) in rupees to USD 100 million by April 10. Banks acting as authorised dealers must follow this daily cap to reduce speculative trading that can put pressure on the rupee. “Banks that generally hold large long positions in dollars may now sell some of them to comply with the RBI cap. This could temporarily strengthen the rupee,” said Amit Pabari, MD of CR Forex Advisors, as per the PTI. Geopolitical tensions push oil prices higher Despite the recovery, the rupee still faces headwinds. Rising crude oil prices and global geopolitical tensions are fueling dollar demand. Brent crude futures surged 2–3 per cent to USD 115–116 per barrel amid concerns about supply disruptions from the US-Iran conflict, while US WTI crude stood at USD 103.38 per barrel. “India, being a major oil importer, sees higher dollar demand when oil prices rise. This puts natural pressure on the rupee,” Pabari added. Impact on the market The rupee’s recent weakness comes amid broader macroeconomic concerns. Rising energy costs, high inflation, and slower GDP growth prospects are weighing on investor sentiment. March saw the rupee fall more than 4 per cent, and on Friday, it dropped nearly 1 per cent to 94.85 to an all time historic low. The equity markets also mirrored investor caution, with the Sensex dropping 1,191 points to 72,391 and the Nifty falling 349 points to 22,470. Foreign investors sold equities worth Rs 4,367 crore on a net basis on Friday. Near-term outlook Analysts said the RBI’s position limit is likely to support the rupee in the near term as banks adjust their holdings. “The rebound is primarily driven by banks unwinding positions, not by a change in fundamentals. The overall picture remains delicate,” Pabari noted. However, sustained global dollar demand, energy-led inflation risks, and geopolitical uncertainty continue to keep the currency under pressure. “The rupee’s bias remains weak unless crude prices see a meaningful correction,” analysts added as per IANS. (With PTI and IANS Inputs)
30 March,2026 12:23 PM IST | Mumbai | mid-day online correspondentADVERTISEMENT
-1775122552296_d.png "Reserve Bank of India. Representational Image")
-1775033661314_d.png "Safe-haven demand pushes gold prices higher in domestic, global markets. Representational Image")
-1775031861813_d.png "Government expands Mudra loan limit to Rs 20 lakh. Representational Image")
-1774852663675_d.png "RBI curbs speculative trading as rupee recovers from record low. File Pic")