Rupee closes at 94.56 vs USD; US-Iran peace agreement details, Fed guidance awaited

The Indian rupee closed 0.2% higher at 94.56 against the US dollar, supported by foreign inflows from central bank measures and softer oil prices following a preliminary US-Iran peace agreement that could reopen the Strait of Hormuz. Brent crude slipped below $81.50/barrel, which is materially supportive for India as the world's third-largest oil importer, helping reduce the import bill and ease current account deficit pressure. Traders are also awaiting the Fed's policy decision and updated guidance due after Indian markets close on Wednesday.