Rupee closes at 96.28 vs USD; logs sharpest weekly drop since May as oil price jump stings

The rupee closed at 96.28 per USD, logging its sharpest weekly drop since May at about 1 percent, pressured by a 13 percent surge in Brent crude to 85.7 dollars per barrel amid escalating U.S.-Iran tensions and risks to energy flows through the Strait of Hormuz. The RBI intervened via state-run bank dollar sales to cap losses, while India's Nifty 50 rose 1 percent, outperforming Asian markets hit by a global chipmaker selloff. Traders are watching oil prices and the RBI's defence as the rupee nears record lows around 97 per dollar, with the central bank's net forward dollar liabilities at 106.6 billion dollars in May.