09.04.2026 06:08
The Indian rupee slipped against the U.S. dollar in Thursday’s early session, pulling back to around 92.65 per dollar after hitting a three‑week trough of 92.20 the day before. The modest rebound came on the heels of a tentative cease‑fire declaration between Washington and Tehran, yet lingering doubts about its durability kept the currency on the defensive.
Market participants grew increasingly skeptical of the truce after Iran’s parliamentary speaker and chief negotiator, Mohammad Bagher Qalibaf, posted on X that the United States had already breached three provisions of Tehran’s 10‑point peace blueprint. In particular, Qalibaf highlighted the failure to implement the first clause – an “immediate cease‑fire everywhere, including Lebanon and other regions,” which he described as “unreasonable” under the current circumstances. This criticism has heightened uncertainty over whether the cease‑fire can hold, reigniting risk‑off sentiment and pressuring higher‑yielding assets.
At the same time, the White House disclosed plans to dispatch a delegation, led by Vice President JD Vance, to Pakistan for the initial round of talks slated for Saturday. The diplomatic move underscores the broader geopolitical turbulence that continues to influence market dynamics.
Despite the cease‑fire announcement, foreign institutional investors (FIIs) persisted as net sellers in India’s equity market. On Wednesday, they dumped shares worth roughly ₹2.81 billion, although the volume was notably lower than the average outflows recorded earlier in April. Over the first four trading days of the month, FIIs have maintained a sell‑side bias, reflecting sustained caution amid the lingering geopolitical risk.
