OCBC: Indian Rupee Stabilises but Faces Recovery Hurdles Against US Dollar

OCBC strategists Christopher Wong and Sim Moh Siong observe that the Indian rupee (INR) has shown signs of stabilisation, but recovery remains challenging against the US dollar. The currency came under depreciation pressure as oil prices and geopolitical concerns resurfaced, driving USD/INR towards a one‑month high.

Key points from the note:

• INR faced renewed headwinds from higher oil prices and geopolitical uncertainty.
• USD/INR has moved towards the upper end of its recent range, approaching a one‑month high.
• The strategists highlight that while temporary stabilisation is visible, sustained recovery hurdles persist.

The note does not specify near‑term targets but underscores the external factors weighing on the rupee.