The Indian rupee fell to around 94.61 per dollar after reaching more than two-month highs, as rising oil prices and stronger importer hedging demand weakened its recovery. Brent crude neared $97 a barrel amid escalating U.S.-Iran tensions and threats to Gulf energy infrastructure, increasing concern about supply disruptions and India’s import bill. The Reserve Bank of India remained active after selling at least $8 billion last week, with estimates as high as $15 billion. Its intervention has shifted toward cushioning pressure from higher oil prices and U.S. Treasury yields rather than driving further rupee appreciation. Importers have increased forward dollar purchases while exporters have held back sales, although policy-driven dollar inflows have given the RBI more room to intervene. India’s foreign-exchange reserves recently reached a record $740.8 billion. Goldman Sachs previously raised its Brent forecasts to $85 a barrel for December 2026 and $80 for 2027, while warning that prices could reach $120 in an upside scenario if Middle East shipping disruptions persist.