Rupee to rise on Jio IPO inflows, RBI while oil risks cloud outlook

The Indian rupee was expected to strengthen on Wednesday, supported by dollar inflows associated with the Jio Platforms IPO and Reserve Bank of India intervention, Business Recorder reported. Traders forecast an opening at 94.75 to 94.80 per dollar, after the currency ended Monday at 94.9250; Indian markets were closed on Tuesday for a holiday.

The IPO opened for subscriptions on Wednesday, with bids for its anchor portion exceeding 30 times the shares available. Oil prices added uncertainty: Brent gained 1.5% to $110.34 amid Middle East supply concerns, while the rupee had posted seven consecutive sessions of gains but struggled to move beyond 94.70 per dollar. The report also cited risks to Red Sea shipping and Saudi Arabian oil infrastructure.