Rupee likely shielded by RBI intervention as oil surges

The rupee traded nearly flat at 96.5350 per dollar as RBI intervention shielded it from sharp declines near its all-time low of around 97. Brent crude surged over 2% to $96.3 per barrel after Yemen's Houthis targeted oil tankers and the US launched strikes on Iran, raising risks of widening India's current account deficit and slowing growth. Analysts warned that sustained pressure could reverse the rebound in foreign inflows, which saw about $4.5 billion of net buying in Indian government bonds during June-July.