Mumbai, Apr 13 (PTI) The rupee depreciated 49 paise to 93.32 against the US dollar in early trade on Monday, weighed down by higher crude oil prices and a firm American currency amid a volatile geopolitical situation.

Renewed tension in West Asia and uncertainties on the opening of the Strait of Hormuz following inconclusive Iran-US peace talks triggered a surge in crude oil prices, while investors rushed to withdraw funds from domestic equities, putting further pressure on the Indian currency, forex traders said.

At the interbank foreign exchange market, the rupee opened at 93.30 against the US dollar and lost further ground, trading at 93.32 against the greenback in early deals, down 49 paise from its previous closing level.

On Friday, the rupee settled 32 paise lower at 92.83 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was higher by 0.38 per cent at 98.81.

Brent crude, the global oil benchmark, was trading higher by 7.28 per cent at USD 102.13 per barrel in futures trade after the US said it would blockade Iranian ports beginning Monday.

According to the US Central Command, the blockade would be "enforced impartially against vessels of all nations" entering or departing Iranian ports and coastal areas. However, ships travelling between non-Iranian ports will be allowed to transit the Strait of Hormuz.

On the domestic equity market front, the stock markets witnessed a steep fall in the morning trade. The 30-share Sensex plummeted 1600.73 points or 2.06 per cent to 75,949.52, while the Nifty tumbled 468.85 points or 1.95 per cent to 23,581.75.

Foreign Institutional Investors purchased equities worth Rs 672.09 crore on Friday, according to exchange data.

The Reserve Bank of India (RBI) said on Friday that the country's forex reserves jumped by USD 9.063 billion to USD 697.121 billion during the week ended April 3, 2026. In the previous reporting week, which ended on March 27, the overall reserves had dropped by USD 10.288 billion to USD 688.058 billion.

The Asian Development Bank (ADB) on Friday said a prolonged conflict in the Middle East could undermine India's macroeconomic performance through multiple channels, including higher energy prices, trade flow disruptions, and weaker remittance inflows.

In its Asian Development Outlook April 2026 report, the ADB projected India's GDP growth to remain "robust" at 6.9 per cent in the current fiscal year, and rise to 7.3 per cent in the next, driven by strong domestic demand, and supported by easing financing conditions and lower US tariffs on Indian goods. PTI HVA HVA

Rupee depreciation amid higher crude prices and geopolitical tensions pressures the foreign exchange market and equities. The rupee depreciated in early trade against the US dollar amid higher crude oil prices, a stronger dollar, geopolitical tension in West Asia, and foreign fund outflows from domestic equities. The report also noted movement in domestic equity indices, an increase in India's forex reserves, and the Asian Development Bank's view that prolonged Middle East conflict could affect India through higher energy costs, trade disruption, and weaker remittances.